Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia

<p>Business challenges in the transportation sector in Indonesia will be tough if they are only profit-oriented, without considering environmental aspects. A vital phenomenon that also motivated the author to investigate the Environmental Kuznets Curve (EKC) hypothesis for the transportation s...

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Autor principal: Priyagus Priyagus
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Publicado: EconJournals 2021
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spelling oai:doaj.org-article:c794b5568f1841ddb52095ca8896d1c62021-11-12T07:27:31ZDoes Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia2146-4553https://doaj.org/article/c794b5568f1841ddb52095ca8896d1c62021-11-01T00:00:00Zhttps://econjournals.com/index.php/ijeep/article/view/11807https://doaj.org/toc/2146-4553<p>Business challenges in the transportation sector in Indonesia will be tough if they are only profit-oriented, without considering environmental aspects. A vital phenomenon that also motivated the author to investigate the Environmental Kuznets Curve (EKC) hypothesis for the transportation sector in Indonesia for the period 2000-2019. We applied the analysis model using Partial Adjustment Model (PAM) with control variable (labor) and without control variable based on Least Square (LS) and Robust Least Square (RSL).This finding detects that it significantly proved the EKC hypothesis in the transportation sector for the estimation of emissions with short-term control variables. In energy estimation, the result is not significant. Economic activity and energy consumption in the transportation sector play an inefficient role in supporting GHG emissions because the actual maximum value of economic activity is still on the left or before it reached the maximum EKC value. The government must be consistent with regulations, cooperate between institutions, and require continuous public attention. This is certainly useful for encouraging investment and achieving more efficient economic growth by maintaining a quality environment in the long term.</p><p><strong>Keywords:</strong><strong> </strong>Environmental Kuznet Curve, Partial Adjustment Model, Least Square, Robust Least Square, transportation sector, carbon emissions, Indonesia.</p><p><strong>JEL Classifications</strong>: F18, C24, C12, L91, F64.</p><p>DOI: <a href="https://doi.org/10.32479/ijeep.11807">https://doi.org/10.32479/ijeep.11807</a></p>Priyagus PriyagusEconJournalsarticleEnvironmental sciencesGE1-350Energy industries. Energy policy. Fuel tradeHD9502-9502.5ENInternational Journal of Energy Economics and Policy, Vol 11, Iss 6, Pp 365-372 (2021)
institution DOAJ
collection DOAJ
language EN
topic Environmental sciences
GE1-350
Energy industries. Energy policy. Fuel trade
HD9502-9502.5
spellingShingle Environmental sciences
GE1-350
Energy industries. Energy policy. Fuel trade
HD9502-9502.5
Priyagus Priyagus
Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
description <p>Business challenges in the transportation sector in Indonesia will be tough if they are only profit-oriented, without considering environmental aspects. A vital phenomenon that also motivated the author to investigate the Environmental Kuznets Curve (EKC) hypothesis for the transportation sector in Indonesia for the period 2000-2019. We applied the analysis model using Partial Adjustment Model (PAM) with control variable (labor) and without control variable based on Least Square (LS) and Robust Least Square (RSL).This finding detects that it significantly proved the EKC hypothesis in the transportation sector for the estimation of emissions with short-term control variables. In energy estimation, the result is not significant. Economic activity and energy consumption in the transportation sector play an inefficient role in supporting GHG emissions because the actual maximum value of economic activity is still on the left or before it reached the maximum EKC value. The government must be consistent with regulations, cooperate between institutions, and require continuous public attention. This is certainly useful for encouraging investment and achieving more efficient economic growth by maintaining a quality environment in the long term.</p><p><strong>Keywords:</strong><strong> </strong>Environmental Kuznet Curve, Partial Adjustment Model, Least Square, Robust Least Square, transportation sector, carbon emissions, Indonesia.</p><p><strong>JEL Classifications</strong>: F18, C24, C12, L91, F64.</p><p>DOI: <a href="https://doi.org/10.32479/ijeep.11807">https://doi.org/10.32479/ijeep.11807</a></p>
format article
author Priyagus Priyagus
author_facet Priyagus Priyagus
author_sort Priyagus Priyagus
title Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
title_short Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
title_full Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
title_fullStr Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
title_full_unstemmed Does Economic Growth Efficient and Environmental Safety? The Case of Transportation Sector in Indonesia
title_sort does economic growth efficient and environmental safety? the case of transportation sector in indonesia
publisher EconJournals
publishDate 2021
url https://doaj.org/article/c794b5568f1841ddb52095ca8896d1c6
work_keys_str_mv AT priyaguspriyagus doeseconomicgrowthefficientandenvironmentalsafetythecaseoftransportationsectorinindonesia
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