Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL

Over the past few years, a growing number of scholars employed ecological footprint (EP) as a proxy of environmental deterioration because this comprehensive indicator effectively captures environmental degradation. However, the literature on driving factors of the ecological footprint indicates div...

Descripción completa

Guardado en:

Detalles Bibliográficos
Autores principales:	Zahoor Ahmed, Bin Zhang, Michael Cary
Formato:	article
Lenguaje:	EN
Publicado:	Elsevier 2021
Materias:	Ecological footprint Symmetric & asymmetric ARDL Economic globalization Economic growth Financial development Ecology QH540-549.5
Acceso en línea:	https://doaj.org/article/8f22db181c904f9bba95a23caaa93a3c
Etiquetas:	Agregar Etiqueta Sin Etiquetas, Sea el primero en etiquetar este registro!

id	oai:doaj.org-article:8f22db181c904f9bba95a23caaa93a3c
record_format	dspace
spelling	oai:doaj.org-article:8f22db181c904f9bba95a23caaa93a3c2021-12-01T04:33:49ZLinking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL1470-160X10.1016/j.ecolind.2020.107060https://doaj.org/article/8f22db181c904f9bba95a23caaa93a3c2021-02-01T00:00:00Zhttp://www.sciencedirect.com/science/article/pii/S1470160X20309997https://doaj.org/toc/1470-160XOver the past few years, a growing number of scholars employed ecological footprint (EP) as a proxy of environmental deterioration because this comprehensive indicator effectively captures environmental degradation. However, the literature on driving factors of the ecological footprint indicates diverse findings, and the majority of the studies explore symmetric relationships. Taking this in view, the current study uses both symmetric and asymmetric methods to examine the nexus between ecological footprint, economic globalization, economic growth, and financial development, controlling for population density and energy consumption in the third-largest economy Japan. The study uses advanced unit root methods including the Narayan-Popp and CMR unit root tests with two breaks to determine unit root properties. The asymmetric and symmetric ARDL methods are used to probe cointegration and long-run associations. The findings reveal the long-run asymmetric and symmetric relationship of variables with the ecological footprint. The long-run empirical results of symmetric ARDL suggest that economic globalization and financial development increase footprint in Japan. On the flipside, the novel findings from the asymmetric ARDL indicate that positive and negative changes in economic globalization reduce footprint. Interestingly, the asymmetric ARDL presents a totally different picture, indicating that the results of symmetric ARDL can be unreliable in the presence of asymmetries. A positive change in financial development increases footprint with a more pronounced effect in the long-run, compared to a negative change which has a comparatively weak effect. Energy consumption deteriorates the environment by increasing the ecological footprint. On the positive side, population density decreases footprint, and the inverted U-shaped relationship between footprint and income confirms the validity of the EKC in Japan. Finally, the policy implications of these novel findings are discussed.Zahoor AhmedBin ZhangMichael CaryElsevierarticleEcological footprintSymmetric & asymmetric ARDLEconomic globalizationEconomic growthFinancial developmentEcologyQH540-549.5ENEcological Indicators, Vol 121, Iss , Pp 107060- (2021)
institution	DOAJ
collection	DOAJ
language	EN
topic	Ecological footprint Symmetric & asymmetric ARDL Economic globalization Economic growth Financial development Ecology QH540-549.5
spellingShingle	Ecological footprint Symmetric & asymmetric ARDL Economic globalization Economic growth Financial development Ecology QH540-549.5 Zahoor Ahmed Bin Zhang Michael Cary Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
description	Over the past few years, a growing number of scholars employed ecological footprint (EP) as a proxy of environmental deterioration because this comprehensive indicator effectively captures environmental degradation. However, the literature on driving factors of the ecological footprint indicates diverse findings, and the majority of the studies explore symmetric relationships. Taking this in view, the current study uses both symmetric and asymmetric methods to examine the nexus between ecological footprint, economic globalization, economic growth, and financial development, controlling for population density and energy consumption in the third-largest economy Japan. The study uses advanced unit root methods including the Narayan-Popp and CMR unit root tests with two breaks to determine unit root properties. The asymmetric and symmetric ARDL methods are used to probe cointegration and long-run associations. The findings reveal the long-run asymmetric and symmetric relationship of variables with the ecological footprint. The long-run empirical results of symmetric ARDL suggest that economic globalization and financial development increase footprint in Japan. On the flipside, the novel findings from the asymmetric ARDL indicate that positive and negative changes in economic globalization reduce footprint. Interestingly, the asymmetric ARDL presents a totally different picture, indicating that the results of symmetric ARDL can be unreliable in the presence of asymmetries. A positive change in financial development increases footprint with a more pronounced effect in the long-run, compared to a negative change which has a comparatively weak effect. Energy consumption deteriorates the environment by increasing the ecological footprint. On the positive side, population density decreases footprint, and the inverted U-shaped relationship between footprint and income confirms the validity of the EKC in Japan. Finally, the policy implications of these novel findings are discussed.
format	article
author	Zahoor Ahmed Bin Zhang Michael Cary
author_facet	Zahoor Ahmed Bin Zhang Michael Cary
author_sort	Zahoor Ahmed
title	Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
title_short	Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
title_full	Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
title_fullStr	Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
title_full_unstemmed	Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL
title_sort	linking economic globalization, economic growth, financial development, and ecological footprint: evidence from symmetric and asymmetric ardl
publisher	Elsevier
publishDate	2021
url	https://doaj.org/article/8f22db181c904f9bba95a23caaa93a3c
work_keys_str_mv	AT zahoorahmed linkingeconomicglobalizationeconomicgrowthfinancialdevelopmentandecologicalfootprintevidencefromsymmetricandasymmetricardl AT binzhang linkingeconomicglobalizationeconomicgrowthfinancialdevelopmentandecologicalfootprintevidencefromsymmetricandasymmetricardl AT michaelcary linkingeconomicglobalizationeconomicgrowthfinancialdevelopmentandecologicalfootprintevidencefromsymmetricandasymmetricardl
_version_	1718405857378566144

Linking economic globalization, economic growth, financial development, and ecological footprint: Evidence from symmetric and asymmetric ARDL

Ejemplares similares