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eISSN: 2083-5906
ISSN: 1230-1485
ISSN: 1230-1485
ORIGINAL RESEARCH
Impact of Economic Openness and Innovations
on the Environment: a New Look
into ASEAN Countries
1
School of Finance and Economics, Jiangsu University, 212013 Zhenjiang, China
2
Faculty of Management and Economics, Kunming University of Science and Technology, 650000 Yunnan, China
3
China Western Economics Research Centre, Southwestern University of Finance and Economics,
611130, Chengdu, China
4
Shanghai Academy of Fine Arts, Shanghai University, 200444 Shanghai, China
5
Karakoram International University, Gilgit Baltistan, Pakistan
Submission date: 2020-10-02
Final revision date: 2020-11-22
Acceptance date: 2020-11-26
Online publication date: 2021-04-21
Publication date: 2021-07-07
Pol. J. Environ. Stud. 2021;30(4):3601-3613
KEYWORDS
TOPICS
ABSTRACT
This study aims to investigate the effects of economic openness and innovations on the environment
of ASEAN countries for 1990-2014. We have employed several techniques for empirical analysis.
To examine cross-sectional dependence and unit root test, we have used the Pesaran CD test and
Pesaran CIPS unit root test. Pedroni and Kao and Westurland cointegration tests have been employed
to confirm the cointegration among the variables. For estimations of long-run relationship, we have
utilized DOLS and FMOLS techniques. Moreover, to determine the causality directions, we have
employed Dumitrescu-Hurlin causality test. The results of the study show that energy use and trade
openness significantly increase CO2 emissions in ASEAN countries. On the other hand, FDI, GDP and
patents markedly depress CO2 emissions. The findings depict that energy use and trade openness harm
the environment by escalating CO2 emissions while FDI, GDP and patents improve the environment by
depressing CO2 emissions. Therefore, policy-makers should encourage investment in renewable energy
sources and boost green trade openness in ASEAN countries.
CONFLICT OF INTEREST
The authors declare that they have no known competing financial interests or personal relationships that could have appeared to influence the work reported in this paper.
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| eISSN: | 2083-5906 |
| ISSN: | 1230-1485 |
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