This research paper aims to examine the association between financial development and environmental quality in 31 European Union (EU) countries from 2001 to 2020. This study proposed an estimation model for the study by combining regression models. The regression model has a dependent variable, carbon emissions, and five independent variables, including Urbanization (URB), Total population (POP), Gross domestic product (GDP), Credit to the private sector (FDB), and Foreign direct investment (FDI). This research used regression methods such as the Fixed Effects Model, Random Effects Model, and Feasible generalized least squaresThe findings reveal that URB, POP, and GDP positively impact carbon emissions in EU countries, whereas the FDB variable exhibits a contrary effect. The remaining variable, FDI, is not statistically significant. In response to these findings, we advocate for adopting transformative green solutions that aim to enhance the quality of health, society, and the environment, offering comprehensive strategies to address Europe’s environmental challenges and pave the way for a sustainable future.
The world has changed to a massive degree in the past thousands of years. Most of the time, the amount of carbon dioxide in the atmosphere remains constant. In the late 18th century, according to the sources of CDIAC and NOOA, the level of carbon dioxide began to rise, and then in the 20th century, it went through the roof, reaching levels that had not been seen in nature for millions of years. The increase in carbon in the atmosphere is the major contributing factor to climate change. The key to reversing the damage is restoring the earth’s delicate, balanced carbon cycle. As carbon cycle depicts the way carbon moves around the earth. It consists of sources that emit the carbon component into the atmosphere. The biological side of the carbon cycle is well balanced due to respiration, where carbon dioxide is released into the atmosphere, then plants, bacteria, and algae take carbon dioxide out of the atmosphere during photosynthesis and the process they use to generate chemical energy. On the other hand, oceans are the best sources and sinks; carbon dioxide is endlessly being absorbed into the ocean and released from the oceans almost exactly at the same rate, which is rapidly influencing the carbon cycle. Similarity is a methodology that has many applications in the real world. The current research article is destined to study how statistics of carbon emission metrics are alike and belong to one cluster. In the current study, the research is destined to derive a similarity analysis of several countries’ carbon emission metrics that are alike and often fall in the range of [0, 1]. And deriving the proximity of the carbon emission metrics leading to similarity or dissimilarity. In the current context of data matrices of numerical data, an Euclidian measure of distance between two data elements will yield a degree of similarity. The current research article is destined to study the similarity analysis of carbon emission metrics through fuzzy entropy clustering.
The role of agriculture in greenhouse gas emissions and carbon neutrality is a complex and important area of study. It involves both carbon sequestration, like photosynthesis, and carbon emission, such as land cultivation and livestock breeding. In Shandong Province, a major agricultural region in China, understanding these dynamics is not only crucial for local and national carbon neutrality goals, but also for global efforts. In this study, we utilized panel data spanning over two decades from 2000 to 2022 and closely examined agricultural carbon dynamics in 16 cities of the Shandong Province. The method from the Intergovernmental Panel on Climate Change (IPCC) was used for calculating agricultural carbon sinks, carbon emissions, and carbon surplus. The results showed that (1) carbon sink from crops in the Shandong Province experienced growth during the study period, closely associated with the rise in crop yields; (2) a significant portion of agricultural carbon emissions was attributable to gastrointestinal fermentation in cattle, and a reduction in the number of stocked cattle led to a fall in overall carbon emissions; (3) carbon surplus underwent a significant transition in 2008, turning from negative to positive, and the lowest value of carbon surplus was noticed in 2003, with agriculture sector reaching the carbon peak; (4) the spatial pattern of carbon surplus intensity distinctly changed before and after 2005, and from 2000 to 2005, demonstrating spatial aggregation. This research elucidates that agriculture in Shandong Province achieved carbon neutrality as early as 2008. This is a pivotal progression, as it indicates a balance between carbon emissions and absorption, highlighting the sector’s ability in maintaining a healthy carbon equilibrium.
The increase in energy consumption is closely linked to environmental pollution. Healthcare spending has increased significantly in recent years in all countries, especially after the pandemic. The link between healthcare spending, greenhouse gas emissions and gross domestic product has led many researchers to use modelling techniques to assess this relationship. For this purpose, this paper analyzes the relationship between per capita healthcare expenditure, per capita gross domestic product and per capita greenhouse gas emissions in the 27 EU countries for the period 2000 to 2020 using Error Correction Westerlund, and Westerlund and Edgerton Lagrange Multiplier (LM) bootstrap panel cointegration test. The estimation of model coefficients was carried out using the Augmented Mean Group (AMG) method adopted by Eberhardt and Teal, when there is heterogeneity and cross-sectional dependence in cross-sectional units. In addition, Dumitrescu and Hurlin test has been used to detect causality. The findings of the study showed that in the long run, per capita emissions of greenhouse gases have a negative effect on per capita health expenditure, except from the case of Greece, Lithuania, Luxembourg and Latvia. On the other hand, long-term individual co-integration factors of GDP per capita have a positively strong impact on health expenditure per capita in all EU countries. Finally, Dumitrescu and Urlin’s causality results reveal a significant one-way causality relationship from GDP per capita and CO2 emissions per capita to healthcare expenditure per capita for all EU countries.
India has experienced notable advancements in trade liberalization, innovation tactics, urbanization, financial expansion, and sophisticated economic development. Researchers are focusing more on how much energy consumption of both renewable and non-renewable accounts for overall system energy consumption in light of these dynamics. In order to gain an understanding of this important and contentious issue, we aim to examine the impact of trade openness, inventions, urbanization, financial expansion, economic development, and carbon emissions affected the usage of renewable and non-renewable energy (REU and N-REU) in India between 1980 and 2020. We apply the econometric approach involving unit root tests, FE-OLS, D-OLS, and FM-OLS, and a new Quantile Regression approach (QR). The empirical results demonstrate that trade openness, urbanization and CO2 emissions are statistically significant and negatively linked with renewable energy utilization. In contrast, technological innovations, financial development, and economic development in India have become a source of increase in renewable energy utilization. Technological innovations were considered negatively and statistically significant in connection with non-renewable energy utilization, whereas the trade, urbanization, financial growth, economic growth, and carbon emissions have been established that positively and statistically significant influence non-renewable energy utilization. The empirical results of this study offer some policy recommendations. For instance, as financial markets are the primary drivers of economic growth and the renewable energy sector in India, they should be supported in order to reduce CO2 emissions.
The increase in world carbon emissions is always in line with national economic growth programs, which create negative environmental externalities. To understand the effectiveness of related factors in mitigating CO2 emissions, this study investigates the intricate relationship among macro-pillars such as economic growth, foreign investment, trade and finance, energy, and renewable energy with CO2 emissions of the high gross domestic product economies in East Asia Pacific, such as China, Japan, Korea, Australia and Indonesia (EAP-5). Through the application of the Vector Error Correction Model (VECM), this research reveals the long-term equilibrium and short-term dynamics between CO2 emissions and selected factors from 1991 to 2020. The long-term cointegration vector test results show that economic growth and foreign investment contribute to carbon reduction. Meanwhile, the short-term Granger causality test shows that economic growth has a two-way causality towards carbon emissions, while energy consumption and renewable energy consumption have a one-way causality towards carbon emissions. In contrast, the variables trade, foreign direct investment, and domestic credit to the private sector do not have two-way causality towards CO2 emissions. The findings reveal that economic growth and foreign investment play significant roles in carbon reduction, which are observed in long-term causality relationships, while energy consumption and renewable energy are notable factors. Thus, the study offers implications for mitigating environmental concerns on national economic growth agendas by scrutinizing and examining the efficacy of related factors.
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