Impact of trade openness on environment in China
The study investigates the impact of trade openness on pollution in China by applying wavelet-coherence analysis, phase-difference technique and Breitung and Candelon (2006) causality test. The estimated results provide some dynamic association between trade openness and pollutant variables. The re...
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Vilnius Gediminas Technical University
2020-06-01
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doaj-20e0102d02fa42b3a9e0c9e50315f5712021-07-02T09:34:22ZengVilnius Gediminas Technical UniversityJournal of Business Economics and Management1611-16992029-44332020-06-0121410.3846/jbem.2020.12050Impact of trade openness on environment in ChinaWen Jun0Hamid Mahmood1Muhammad Zakaria2 School of Economics and Finance, Xi’an Jiaotong University, Xi’an, Shaanxi, P. R. ChinaSchool of Economics and Finance, Xi’an Jiaotong University, Xi’an, Shaanxi, P. R. ChinaSchool of Economics and Finance, Xi’an Jiaotong University, Xi’an, Shaanxi, P. R. China The study investigates the impact of trade openness on pollution in China by applying wavelet-coherence analysis, phase-difference technique and Breitung and Candelon (2006) causality test. The estimated results provide some dynamic association between trade openness and pollutant variables. The results indicate that trade openness has increased pollution in China especially after 2001 when China became member of WTO. It suggests that “pollution haven hypothesis” exists in China. These results imply that trade openness has increased exports which has increased domestic production by increasing the scale of industries, which in turn has increased pollution in the country. The findings of spectral domain causality test show that trade openness causes carbon emission both in short, medium and long runs. It indicates that trade openness forecast carbon emissions in China. The results suggest that China should take suitable measures while following trade openness policy to avoid pollution. https://www.bme.vgtu.lt/index.php/JBEM/article/view/12050Chinapollutiontrade opennesswaveletphase-differencecausality |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Wen Jun Hamid Mahmood Muhammad Zakaria |
spellingShingle |
Wen Jun Hamid Mahmood Muhammad Zakaria Impact of trade openness on environment in China Journal of Business Economics and Management China pollution trade openness wavelet phase-difference causality |
author_facet |
Wen Jun Hamid Mahmood Muhammad Zakaria |
author_sort |
Wen Jun |
title |
Impact of trade openness on environment in China |
title_short |
Impact of trade openness on environment in China |
title_full |
Impact of trade openness on environment in China |
title_fullStr |
Impact of trade openness on environment in China |
title_full_unstemmed |
Impact of trade openness on environment in China |
title_sort |
impact of trade openness on environment in china |
publisher |
Vilnius Gediminas Technical University |
series |
Journal of Business Economics and Management |
issn |
1611-1699 2029-4433 |
publishDate |
2020-06-01 |
description |
The study investigates the impact of trade openness on pollution in China by applying wavelet-coherence analysis, phase-difference technique and Breitung and Candelon (2006) causality test. The estimated results provide some dynamic association between trade openness and pollutant variables. The results indicate that trade openness has increased pollution in China especially after 2001 when China became member of WTO. It suggests that “pollution haven hypothesis” exists in China. These results imply that trade openness has increased exports which has increased domestic production by increasing the scale of industries, which in turn has increased pollution in the country. The findings of spectral domain causality test show that trade openness causes carbon emission both in short, medium and long runs. It indicates that trade openness forecast carbon emissions in China. The results suggest that China should take suitable measures while following trade openness policy to avoid pollution.
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topic |
China pollution trade openness wavelet phase-difference causality |
url |
https://www.bme.vgtu.lt/index.php/JBEM/article/view/12050 |
work_keys_str_mv |
AT wenjun impactoftradeopennessonenvironmentinchina AT hamidmahmood impactoftradeopennessonenvironmentinchina AT muhammadzakaria impactoftradeopennessonenvironmentinchina |
_version_ |
1721332951507009536 |