Journal of World Economic Research

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The Causality between Economic Growth and the Environmental Quality: Implementing the Hsiao Causality Test Using Regression Model and Artificial Neural Network (ANN)

Received: 21 June 2015    Accepted: 26 June 2015    Published: 13 August 2015
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Abstract

The aim of the present study was to determine the causality between economic growth and environmental quality. The variables under study were economic growth, government expenditure, openness degree of the economy, capital stock, population, average export of contaminants, and carbon dioxide (CO2) emissions during the time period from 1977 to 2010 for the Iranian economy. The results suggested that there is a two-way relationship between economic growth and environmental quality. Besides, economic growth was found to have the greatest impact on air pollution. It was also noted that the artificial neural network (ANN) produces better results (estimates) in most cases than the regression model

DOI 10.11648/j.jwer.s.2015040501.15
Published in Journal of World Economic Research (Volume 4, Issue 5-1, September 2015)

This article belongs to the Special Issue The Globalization and Economic Structure Changes

Page(s) 33-39
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This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

Economic Growth, CO2 Emission; Environmental Quality (Air Pollution), Artificial Neural Network (ANN)

References
[1] Agras, J., Chapman, D., (1999). A dynamic approach to the Environmental Kuznets Curve hypothesis. Ecological Economics 28 (2), 267-277.
[2] Annicchiarico, B., A.R., Bennato, and A. Costa (2009). Economic growth and carbon dioxide emissions in Italy, 1861 –2003, Department of Economics, University of Rome Tor Vergata, Online at http://mra.ub.unimuenchen.de/12817/MPRApaper , No. 12871.
[3] De Bruyn, S,M., van den Bergh, J.C.J.M., Opschoor, J.B., (1998). Economic Growth and Emissions: Reconsidering the Empirical Basis of Environmental Kuznets Curves, Ecological Economics 25, 161 – 175.
[4] Friedl, B., and M. Getzner (2002). Environmental and growth in a small open economy: av EKC case-study for Austrian CO2 emission, Discussion paper of the college of business administration university of Klagenfurt, Austria.
[5] Grossman, G.M. and A.B. Krueger (1993). “Environmental Impacts of a North American Free Trade Agreement” in P. Garer, ed., The U.s.-Mexico Free Trade Agreement. Cambridge, MA: MIT Press.
[6] Iwata, H., K. Okada, and S. Samreth (2009). Empirical study on the environmental Kuznets Curve for CO2 in France: The roleof nuclear energy, Online at-http://mpra.ub.uni-muenchen.de/18997/MPRA paper No. 18997, posted 03.
[7] Kuznets, S., (1955). economic growth and income inequaligy, American Economic Review 45, pp.1-28.
[8] Jiang, Y., L. Tun, and Z. Juzhong (2008). Environment Kuznets Curves in the Peopele’s Republic of china: turning points and regional differences, available from:-http://mpra.ub.uni-muenchen.de/21252/.
[9] Lean, H., and R. Smyth (2012). CO2 emission, electricity consumption and output in ASEAN
[10] Murthy, S.N., M. panda, and K. Parick (2006). CO2 emissions reduction strategies and economic development of India, Indira Gandhi Institute of Development Research, Mumbai.
[11] Olusegun, O.A., (2009). Economic growth and environmental quality in Nigeria: Does environmental Kuznets Curve Hypothesis hold?, Environmental Research Journal, 3(1): pp.14-18.
Author Information
  • Department of Economics, College of Economics, Arsanjan Branch, Islamic Azad University (IAU), Arsanjan, Iran

  • Department of Agricultural Economics, Arsanjan Branch, Islamic Azad University (IAU), Arsanjan, Iran

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    Morteza Hasanshahi, Majid Zare. (2015). The Causality between Economic Growth and the Environmental Quality: Implementing the Hsiao Causality Test Using Regression Model and Artificial Neural Network (ANN). Journal of World Economic Research, 4(5-1), 33-39. https://doi.org/10.11648/j.jwer.s.2015040501.15

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    ACS Style

    Morteza Hasanshahi; Majid Zare. The Causality between Economic Growth and the Environmental Quality: Implementing the Hsiao Causality Test Using Regression Model and Artificial Neural Network (ANN). J. World Econ. Res. 2015, 4(5-1), 33-39. doi: 10.11648/j.jwer.s.2015040501.15

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    AMA Style

    Morteza Hasanshahi, Majid Zare. The Causality between Economic Growth and the Environmental Quality: Implementing the Hsiao Causality Test Using Regression Model and Artificial Neural Network (ANN). J World Econ Res. 2015;4(5-1):33-39. doi: 10.11648/j.jwer.s.2015040501.15

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  • @article{10.11648/j.jwer.s.2015040501.15,
      author = {Morteza Hasanshahi and Majid Zare},
      title = {The Causality between Economic Growth and the Environmental Quality: Implementing the Hsiao Causality Test Using Regression Model and Artificial Neural Network (ANN)},
      journal = {Journal of World Economic Research},
      volume = {4},
      number = {5-1},
      pages = {33-39},
      doi = {10.11648/j.jwer.s.2015040501.15},
      url = {https://doi.org/10.11648/j.jwer.s.2015040501.15},
      eprint = {https://download.sciencepg.com/pdf/10.11648.j.jwer.s.2015040501.15},
      abstract = {The aim of the present study was to determine the causality between economic growth and environmental quality. The variables under study were economic growth, government expenditure, openness degree of the economy, capital stock, population, average export of contaminants, and carbon dioxide (CO2) emissions during the time period from 1977 to 2010 for the Iranian economy. The results suggested that there is a two-way relationship between economic growth and environmental quality. Besides, economic growth was found to have the greatest impact on air pollution. It was also noted that the artificial neural network (ANN) produces better results (estimates) in most cases than the regression model},
     year = {2015}
    }
    

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    AB  - The aim of the present study was to determine the causality between economic growth and environmental quality. The variables under study were economic growth, government expenditure, openness degree of the economy, capital stock, population, average export of contaminants, and carbon dioxide (CO2) emissions during the time period from 1977 to 2010 for the Iranian economy. The results suggested that there is a two-way relationship between economic growth and environmental quality. Besides, economic growth was found to have the greatest impact on air pollution. It was also noted that the artificial neural network (ANN) produces better results (estimates) in most cases than the regression model
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