Are shocks to ecological balance permanent or temporary? Evidence from LM unit root tests

Yilanci V., Pata U. K.

JOURNAL OF CLEANER PRODUCTION, cilt.276, 2020 (SCI-Expanded) identifier identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 276
  • Basım Tarihi: 2020
  • Doi Numarası: 10.1016/j.jclepro.2020.124294
  • Dergi Adı: JOURNAL OF CLEANER PRODUCTION
  • Derginin Tarandığı İndeksler: Science Citation Index Expanded (SCI-EXPANDED), Scopus, Academic Search Premier, PASCAL, Aerospace Database, Business Source Elite, Business Source Premier, CAB Abstracts, Chimica, Communication Abstracts, Compendex, INSPEC, Metadex, Pollution Abstracts, Public Affairs Index, Veterinary Science Database, Civil Engineering Abstracts
  • Anahtar Kelimeler: Ecological footprint, Ecological balance, RALS-LM unit Root test, Fourier function, G7 and E7 countries, CARBON-DIOXIDE EMISSIONS, CO2 EMISSIONS, ENERGY-CONSUMPTION, POLICY SHOCKS, FOOTPRINT, CONVERGENCE, STATIONARITY, PERSISTENCE, HYPOTHESIS, COUNTRIES
  • Çanakkale Onsekiz Mart Üniversitesi Adresli: Hayır

Özet

Ecological balance can be described as the difference between ecological footprint and biocapacity. It is an important indicator of sustainable and environmental development. In this regard, the current study aims to determine whether policies on ecological balance are effective in G7 and E7 countries, covering the period of 1961-2016. To this end, we use the Lagrange Multiplier (LM) unit root test, LM unit root test with structural breaks, and Fourier LM unit root test, as well as more powerful versions of these tests to investigate the stationarity of the ecological balance. We also examine the effectiveness of policies regarding ecological footprint and biocapacity. The empirical results obtained from both linear and nonlinear unit root tests show that ecological balance is stationary in Germany, Italy, Japan, the US, China, India, Indonesia, Mexico, and Turkey, while it is non-stationary in the remaining five countries. However, the findings based on the structural break unit root tests suggest that ecological balance is stationary in more countries. Finally, the overall results indicate that shocks to the ecological balance in G7 countries have a more permanent effect than in E7 countries. Therefore, G7 countries can better apply environmental protection policies than E7 countries can in the long term. In Brazil, Canada, France, Russia, and the UK, environmental policies can be effectively implemented to regulate ecological balance. (c) 2020 Elsevier Ltd. All rights reserved.