ENVIRONMENTAL IMPACTS OF GLOBALIZATION (AN EMPIRICAL EXAMINATION OF IRAN’S AGRICULTURE)

Nima Ajam, Reza Moghaddasi , Amir Mohammadinejad

Abstract

Growing development of various industries and the necessity for paying attention to sustainable development, on the one hand, and undesirable effects of environmental pollution on various agricultural and social aspects of countries, on the other hand, have caused environmental protection to be one of the main concerns of policymakers. Accordingly, in recent decades, a large amount of theoretical and empirical research has focused on the methods of improving environmental quality and related effective factors. This research mainly aims to investigate the impact of globalization and agricultural value-added on the amount of pollution arisen due to CO2 emissions in the agricultural sector in Iran. For this purpose, a distributed lag nonlinear model is used over the period 1979-2016. The results indicate that positive agricultural value-added and globalization shocks have a direct and inverse relationship with CO2 emissions, respectively. At the same time, a negative shock in agricultural value-added reduces the pollution of this sector. Moreover, the results indicate significant asymmetry between agricultural value-added and pollution in this sector. The results were obtained by the NARDL method, which is used for the first time to estimate the effect of agricultural value-added and globalization on pollution arisen from CO2 emissions in the Iranian agricultural sector.

 

Keywords: Iran, CO2 Emission, Nonlinear Autoregressive Distributed Lag, Agricultural Value-Added, Globalization

 

DOI：https://doi.org/10.35741/issn.0258-2724.56.4.17


Full Text:

PDF


References


ASADIKIA, H., OYARHOSSEIN, R., SALEH, I., RAFIEE, H., & ZARE, S. (2009) The Relationship between Economic Growth and Air Pollution Considering Effect of Iranian Development Programs. Journal of Environmental Studies, 35(51), pp. 93-100

BOHLLOLI, P. (2013) An investigation into the Impact of foreign direct investment on environmental pollution in Iran. Journal of Quantitative Studies in Management, 2(1), pp. 181-200.

FAOSTAT (2020) Food and Agriculture Organization of the United Nations (FAO). FAOSTAT Database. http://faostat.fao.org/site/291/default.aspx

GE, Y., & WU, H. (2018) Environmental assessment of asymmetric hysteresis of China’s crude oil price to gasoline price. Ekoloji, 27(106), pp. 1563–1574.

HIPÓLITO LEAL, P., & CARDOSO MARQUES, A. (2019) Are de jure and de facto globalization undermining the environment? Evidence from high and low globalized EU countries. Journal of Environmental Management, 250, article ID 109460. https://doi.org/10.1016/j.jenvman.2019.109460

KHAN, M.K., TENG, J.Z., KHAN, M.I., & KHAN, M.O. (2019) Impact of globalization, economic factors and energy consumption on CO2 emissions in Pakistan. Science of the Total Environment, 688, pp. 424–436. https://doi.org/10.1016/j.scitotenv.2019.06.065

KWABENA TWEREFOU, D., DANSO-MENSAH, K., & BOKPIN, G. A. (2017) The environmental effects of economic growth and globalization in Sub-Saharan Africa: A panel general method of moments approach. Research in International Business and Finance, 42, pp. 939–949. https://doi.org/10.1016/j.ribaf.2017.07.028

LIN, B., & XU, B. (2018) Factors affecting CO2 emissions in China’s agriculture sector: A quantile regression. Renewable and Sustainable Energy Reviews, 94, pp. 15–27. https://doi.org/10.1016/j.rser.2018.05.065

LIU, Z., WANG, F., TANG, Z., & TANG, J. (2020). Predictions and driving factors of production-based CO2 emissions in Beijing, China. Sustainable Cities and Society, 53, article ID 101909. https://doi.org/10.1016/j.scs.2019.101909

MOUSAVI, N.A., NIAZI, N., & FARAJZADEH, Z. (2013). Effects of Globalization on Pollution diffusion in Iran. Agricultural Economics Research, 5(2), 75-90.

PESARAN, H.M. & PESARAN, B. (1997). Microfit 4. Oxford University Press, England.

PESARAN, H.M., & SHIN, Y. (1998) An Autoregressive Distributed Lag Modeling Approach to Cointegration Analysis. Cambridge University Press, Cambridge, pp. 371-413

PESARAN, M. H., SHIN, Y., & SMITH, R. J. (2001) Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics, 16(3), pp. 289–326. https://doi.org/10.1002/jae.616

SARRAFI ZANJANI, M., & MEHREGAN, N. (2018) Asymmetric Effect of Exchange Rate Risk on the Stock Index of Export-Oriented Industries Using the NARDL Model. Journal of Research in Economic Modeling, 9(33), pp. 89–116. https://doi.org/10.29252/jemr.9.33.89

SHAHBAZ, M., MALLICK, H., MAHALIK, M. K., & LOGANATHAN, N. (2015) Does globalization impede environmental quality in India? Ecological Indicators, 52, pp. 379–393. https://doi.org/10.1016/j.ecolind.2014.12.025

SHAHBAZ, M., SOLARIN, S. A., & OZTURK, I. (2016) Environmental Kuznets Curve hypothesis and the role of globalization in selected African countries. Ecological Indicators, 67, pp. 623–636. https://doi.org/10.1016/j.ecolind.2016.03.024

SHIN, Y., YU, B., & GREENWOOD-NIMMO, M. (2014) Modelling Asymmetric Cointegration and Dynamic Multipliers in a Nonlinear ARDL Framework. In Sickles, R. & Horrace, W. (Eds.) Festschrift in Honor of Peter Schmidt. Econometric Methods and Applications, Springer, New York, NY, pp. 281-314. https://doi.org/10.1007/978-1-4899-8008-3

YOU, W., & LV, Z. (2018). Spillover effects of economic globalization on CO2 emissions: A spatial panel approach. Energy Economics, 73, pp. 248–257. https://doi.org/10.1016/j.eneco.2018.05.016

KAZERONI, A., & FESHARI, M. (2010). The Effect of Industrial Exports on the Iranian Environmental Quality (1973-2006) Iranian Journal of Trade Studies, 14(55), pp. 183-212.

TAVAKKOLNIA, M.R., & AKBARIAN, M.A. (2011) Opportunity or Threat for Environment. Strategic Studies of Public Policy, 2(5), pp. 97-120.

LEE, J. & STRAZICICH, M. (2003).

Minimum Lagrange Multiplier Unit Root Test with Two Structural Breaks. The Review of Economics and Statistics, 85(4), pp. 1082-1089.


Refbacks

  • There are currently no refbacks.