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Article
Publication date: 5 March 2024

Cristian Pinto-Gutiérrez

This study aims to investigate the relationship between business group affiliation and CO2 emissions in Chile, providing insights into the pollution externalities associated with…

Abstract

Purpose

This study aims to investigate the relationship between business group affiliation and CO2 emissions in Chile, providing insights into the pollution externalities associated with business group structures and their implications for environmental performance.

Design/methodology/approach

A hand-matched sample of industrial facilities and subsidiaries of listed firms in Chile was utilized to analyze the CO2 emissions of business group-affiliated firms compared to stand-alone firms. Fixed-effect regression analysis and propensity score matching were employed to examine the differences in emissions levels.

Findings

The results suggest that firms affiliated with business groups have higher CO2 emissions in comparison to similar stand-alone firms. This suggests that business group structures may weaken the pressures for emission reduction and maintenance of public legitimacy among affiliated firms.

Research limitations/implications

The findings of this study are subject to certain limitations, such as the use of a specific dataset from Chile and the inability to explore certain factors due to data constraints. For instance, we were unable to examine the separation between control and cash-flow rights as well as the influence of manager characteristics on pollution levels. Future research should address these limitations and expand the analysis to other emerging market countries to further investigate the impact of lax or ineffective environmental regulations on pollution outcomes.

Practical implications

The research findings have practical implications for investors and policymakers. Investors interested in environmentally sustainable investments should consider the higher pollution levels associated with business group-affiliated firms. Policymakers can use these findings to design more effective regulations and incentives to encourage emission reduction efforts within business group structures.

Social implications

The study’s results emphasize the need for a comprehensive understanding of the environmental implications of business group affiliation. By recognizing the potential for higher emissions in business group structures, stakeholders can advocate for sustainable practices, encourage transparency and promote responsible environmental management within corporate entities.

Originality/value

This study contributes to the literature on corporate governance, climate risks and pollution externalities by providing an empirical evidence on the relationship between business group affiliation and CO2 emissions. It highlights the importance of considering the influence of corporate structures on environmental performance, particularly in the context of emerging market economies.

Objetivo

Este estudio tiene como objetivo investigar la relación entre la afiliación a grupos empresariales y las emisiones de CO2 en Chile, proporcionando información sobre las externalidades de contaminación asociadas con las estructuras de grupos empresariales y sus implicaciones para el desempeño ambiental de las empresas.

Diseño/Metodología/Aproximación

Se utilizó una muestra recolectada de manera manual de instalaciones industriales y subsidiarias de empresas listadas en Chile para analizar las emisiones de CO2 de empresas afiliadas a grupos empresariales en comparación con empresas independientes. Se emplearon análisis de regresión de efectos fijos y modelos de emparejamiento por puntaje de propensión para examinar las diferencias en los niveles de emisiones.

Hallazgos

Los resultados sugieren que las empresas afiliadas a grupos empresariales tienen mayores emisiones de CO2 en comparación con empresas independientes similares. Esto sugiere que las estructuras de grupos empresariales pueden debilitar las presiones para la reducción de emisiones y el mantenimiento de la legitimidad pública entre las empresas afiliadas.

Originalidad

Este estudio contribuye a la literatura sobre gobierno corporativo, riesgos climáticos y externalidades de contaminación al proporcionar evidencia empírica sobre la relación entre la afiliación a grupos empresariales y las emisiones de CO2. Destaca la importancia de considerar la influencia de las estructuras corporativas en el rendimiento ambiental, especialmente en el contexto de las economías de mercados emergentes.

Limitaciones/Implicaciones de la Investigación

Los hallazgos de este estudio están sujetos a ciertas limitaciones, como el uso de un conjunto de datos específico de Chile y la incapacidad para explorar ciertos factores debido a restricciones de datos. Por ejemplo, no pudimos examinar la influencia de las características de los ejecutivos de las empresas en los niveles de contaminación. Investigaciones futuras deberían abordar estas limitaciones y ampliar el análisis a otros países de mercados emergentes para investigar más a fondo el impacto de regulaciones ambientales laxas o ineficaces en los resultados de contaminación.

Implicaciones Prácticas

Los hallazgos de la investigación tienen implicaciones prácticas para inversores y responsables políticos. Los inversores interesados en inversiones ambientalmente sostenibles deben tener en cuenta los niveles más altos de contaminación asociados con empresas afiliadas a grupos empresariales. Los responsables políticos pueden utilizar estos hallazgos para diseñar regulaciones más efectivas e incentivos para fomentar los esfuerzos de reducción de emisiones dentro de las estructuras de grupos empresariales.

Implicaciones Sociales

Los resultados del estudio enfatizan la necesidad de comprender de manera integral las implicaciones ambientales de la afiliación a grupos empresariales. Al reconocer el potencial de mayores emisiones en las estructuras de grupos empresariales, los interesados pueden abogar por prácticas sostenibles, fomentar la transparencia y promover una gestión ambiental responsable dentro de las entidades corporativas.

Open Access
Article
Publication date: 19 March 2024

Mazignada Sika Limazie and Soumaïla Woni

The present study investigates the effect of foreign direct investment (FDI) and governance quality on carbon emissions in the Economics Community of West African States (ECOWAS).

Abstract

Purpose

The present study investigates the effect of foreign direct investment (FDI) and governance quality on carbon emissions in the Economics Community of West African States (ECOWAS).

Design/methodology/approach

To achieve the objective of this research, panel data for dependent and explanatory variables over the period 2005–2016, collected in the World Development Indicators (WDI) database and World Governance Indicators (WGI), are analyzed using the generalized method of moments (GMM). Also, the panel-corrected standard errors (PCSE) method is applied to the four segments of the overall sample to analyze the stability of the results.

Findings

The findings of this study are: (1) FDI inflows have a negative effect on carbon emissions in ECOWAS and (2) The interaction between FDI inflows and governance quality have a negative effect on carbon emissions. These results show the decreasing of environmental damage by increasing institutional quality. However, the estimation results on the country subsamples show similar and non-similar aspects.

Practical implications

This study suggests that policymakers in the ECOWAS countries should strengthen their environmental policies while encouraging FDI flows to be environmentally friendly.

Originality/value

The subject has rarely been explored in West Africa, with gaps such as the lack of use of institutional variables. This study contributes to the literature by drawing on previous work to examine the role of good governance on FDI and the CO2 emission relationship in the ECOWAS, which have received little attention. However, this research differs from previous work by subdividing the overall sample into four groups to test the stability of the results.

Details

Journal of Economics and Development, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1859-0020

Keywords

Open Access
Article
Publication date: 5 May 2023

Lobna Abid, Sana Kacem and Haifa Saadaoui

This research paper aims to handle the effects of economic growth, corruption, energy consumption as well as trade openness on CO2 emissions for a sample of West African countries…

1330

Abstract

Purpose

This research paper aims to handle the effects of economic growth, corruption, energy consumption as well as trade openness on CO2 emissions for a sample of West African countries during the period 1980 and 2018.

Design/methodology/approach

The current work uses the pooled mean group (PMG)-autoregressive distributed lag (ARDL) panel model to estimate the dynamics among the different variables used in the short and long terms.

Findings

The findings demonstrate that all variables have long-term effects. These results suggest that gross domestic product (GDP) per capita exhibits a positive and prominent effect on CO2 emissions. Corruption displays a negative and outstanding effect on long-term CO2 emissions. In contrast, energy consumption in West African countries and trade openness create environmental degradation. Contrarily to long-term results, short-term results demonstrate that economic growth, corruption and trade openness do not influence the environmental quality.

Originality/value

Empirical findings provide useful information to explore deeper and better the link between the used variables. They stand for a theoretical basis as well as an enlightening guideline for policymakers to set strategies founded on the analyzed links.

Details

Arab Gulf Journal of Scientific Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1985-9899

Keywords

Open Access
Article
Publication date: 27 September 2023

Awa Traoré and Simplice Asongu

A promising solution to meet the challenge of sustainability and ensure the protection of the environment consists in acting considerably on the adoption and use of new…

Abstract

Purpose

A promising solution to meet the challenge of sustainability and ensure the protection of the environment consists in acting considerably on the adoption and use of new information and communication technologies. The latter can act on the protection of the environment; completely change manufacturing processes into energy-efficient, eco-friendly techniques or influence institutions and governance. The article attempts to cover shortcomings in the literature by providing a couple of theoretical frameworks and grounded empirical proofs for the dissemination of green technologies and the interaction of the latter with institutional quality.

Design/methodology/approach

The sample is made up of 43 African countries covering the period 2000–2020 and a panel VAR modeling approach is employed.

Findings

Our results show that an attenuation of CO2 emissions amplifies the diffusion of digital technologies (mobile telephones and Internet). Efficiency in the institutional quality of African countries is mandatory for environmental preservation. Moreover, the provision of a favorable institutional framework in favor of renewable energy helps to stimulate environmental performance in African states.

Originality/value

This study complements the extant literature by assessing nexuses between green technology and CO2 emissions in environmental sustainability.

Details

Management of Environmental Quality: An International Journal, vol. 35 no. 2
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 9 August 2022

Mirela Panait, Laeeq Razzak Janjua, Simona Andreea Apostu and Constanta Mihăescu

Carbon dioxide emissions affect the environment, presenting major implications for sustainable development and consequently model climate change policies. The main aim of the…

Abstract

Purpose

Carbon dioxide emissions affect the environment, presenting major implications for sustainable development and consequently model climate change policies. The main aim of the paper is to highlight the factors leading to CO2 emissions in Latin America.

Design/methodology/approach

The analysis was performed using data for 1990–2020 and panel regression and STATA software.

Findings

The results highlighted that the variables have significantly influence CO2 emissions in case of the countries in the sample.

Originality/value

The novelty of the paper consists in using all financial inflows of together (foreign direct investment, official development assistance and remittences), Latin America heavily in-flowed with remittances from the USA. Since Latin America is enriched with forest areas, the authors also covered this variable in the estimations. Urbanization and transportation are induced by remittance inflows, thus wellbeing was incorporated in the model. The conclusion of the study demonstrates the need for complex measures involving public-private partnerships, public awareness of the need for energy transition and the involvement of foreign-owned companies that must not only pursue their own interests but also generate positive economic, environmental, and social externalities in host countries.

Details

Kybernetes, vol. 52 no. 11
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 24 July 2023

Xuan-Hoa Nghiem, Walid Bakry, Husam-Aldin N. Al-Malkawi and Sherine Farouk

This paper aims to examine the impact of information and telecommunication technologies (ICT-proxied by mobile phone subscription and Internet usage) on carbon dioxide (CO2…

Abstract

Purpose

This paper aims to examine the impact of information and telecommunication technologies (ICT-proxied by mobile phone subscription and Internet usage) on carbon dioxide (CO2) emissions in the Organization for Economic Cooperation and Development (OECD) countries from 1990 to 2018.

Design/methodology/approach

The Cross-section Autoregressive Distributed Lag (CS-ARDL) model is employed to address the potential cross-section dependence problem. Common Correlated Effects Mean Group (CCEMG) and Augmented Mean Group (AMG) estimators are used to test for robustness of results.

Findings

Results reveal contrasting effects of mobile phone subscription and Internet usage on CO2 emissions. While mobile phone penetration helps mitigate CO2 emissions, Internet usage tends to increase the emissions. Findings show that renewable energy is beneficial to the environment while economic growth is harmful to the environment. The effects of financial development and trade openness seem negligible.

Practical implications

This study offers practical implications for policymakers. As different proxies of ICT could have contradictory impact on CO2, governments should be cautious against utilizing ICT to mitigate CO2. Findings point to the benefits of renewable energy in alleviating CO2 emissions. Therefore, governments are strongly advised to implement policies facilitating renewable energy consumption.

Originality/value

Previous studies ignored the problem of cross-section dependence which could lead to biased results and cause misleading inferences. This study aims to fill this void in the literature.

Details

Management of Environmental Quality: An International Journal, vol. 34 no. 6
Type: Research Article
ISSN: 1477-7835

Keywords

Open Access
Article
Publication date: 26 February 2024

Cheikh Tidiane Ndour and Simplice Asongu

This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability.

Abstract

Purpose

This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability.

Design/methodology/approach

The focus is on a panel of 42 sub-Saharan African countries over the period 2005–2020. The empirical evidence is based on generalized method of moments. The environmental sustainability indicator used is CO2 emissions per capita. Three indicators of women’s economic inclusion are considered: female labour force participation, female employment and female unemployment. The chosen ICT indicators are mobile phone penetration, Internet penetration and fixed broadband subscriptions.

Findings

The results show that: (1) fixed broadband subscriptions represent the most relevant ICT moderator of gender economic inclusion for an effect on CO2 emissions; (2) negative net effects are apparent for the most part with fixed broadband subscriptions (3) both positive ICT thresholds (i.e., critical levels for complementary policies) and negative ICT thresholds (i.e., minimum ICT levels for negative net effects) are provided; (4) ICT synergy effects are apparent for female unemployment, but not for female employment. In general, the joint effect of ICTs or their synergies and economic inclusion should be a concern for policymakers in order to better ensure sustainable development. Moreover, the relevant ICT policy thresholds and mobile phone threshold for complementary policy are essential in promoting a green economy.

Originality/value

The study complements the extant literature by assessing linkages between information technology, gender economic inclusion and environmental sustainability.

Details

Management of Environmental Quality: An International Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 19 March 2024

Van Cam Thi Nguyen and Hoi Quoc Le

This study is intended to analyze the impact of information and communication technology (ICT) infrastructure, technological innovation, renewable energy consumption and financial…

Abstract

Purpose

This study is intended to analyze the impact of information and communication technology (ICT) infrastructure, technological innovation, renewable energy consumption and financial development on carbon dioxide emissions in emerging economies.

Design/methodology/approach

The present study adopts the autoregressive distributed lag (ARDL) cointegration technique for the annual data collection of Vietnam from 1990 to 2020.

Findings

The results of the study unveil that renewable energy consumption, the interaction between renewable energy consumption and ICT infrastructure and financial development have significant predictive power for carbon dioxide emissions. In the long term, renewable energy consumption, export and population growth reduce CO2 emissions, whereas the interaction between renewable energy consumption and ICT infrastructure and financial development increases CO2 emissions, while ICT infrastructure does not affect emissions. In the short run, changes in ICT infrastructure contribute to carbon dioxide emissions in Vietnam. In addition, changes in renewable energy consumption, financial development, the interaction between ICT infrastructure and renewable energy consumption and population growth have a significant effect on CO2 emissions. Notably, technological innovation has no impact on CO2 emissions in both the short and long run.

Originality/value

The current study provides new insights into the environmental effects of ICT infrastructure, technological innovation, renewable energy consumption and financial development. The interaction between renewable energy consumption and ICT infrastructure has a significant effect on carbon dioxide emissions. The paper suggests important implications for setting long-run policies to boost the effects of financial development, renewable energy consumption and ICT infrastructure on environmental quality in emerging countries like Vietnam in the coming time.

Details

Management of Environmental Quality: An International Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 11 January 2024

Elijah Kusi, Isaac Boateng and Humphrey Danso

Using building information modelling (BIM) technology, a conventional structure in this study was converted into a green building to measure its energy usage and CO2 emissions.

197

Abstract

Purpose

Using building information modelling (BIM) technology, a conventional structure in this study was converted into a green building to measure its energy usage and CO2 emissions.

Design/methodology/approach

Digital images of the existing building conditions were captured using unmanned aerial vehicle (UAV), and were fed into Meshroom to generate the building’s geometry for 3D parametric model development. The model for the existing conventional building was created and converted to an energy model and exported to gbXML in Autodesk Revit for a whole building analysis which was carried out in the Green Building Studio (GBS). In the GBS, the conventional building was retrofitted into a green building to explore their energy consumption and CO2 emission.

Findings

By comparing the green building model to the conventional building model, the research found that the green building model saved 25% more energy while emitting 46.8% less CO2.

Practical implications

The study concluded that green building reduces energy consumption, thereby reducing the emission of CO2 into the environment. It is recommended that buildings should be simulated at the design stage to know their energy consumption and carbon emission performance before construction.

Social implications

Occupant satisfaction, operation cost and environmental safety are essential for sustainable or green buildings. Green buildings increase the standard of living and enhance indoor air quality.

Originality/value

This investigation aided in a pool of information on how to use BIM methodology to retrofit existing conventional buildings into green buildings, showing how green buildings save the environment as compared to conventional buildings.

Details

International Journal of Building Pathology and Adaptation, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2398-4708

Keywords

Article
Publication date: 28 November 2023

Gülin Vardar, Berna Aydoğan and Beyza Gürel

Considering the evolving importance of green finance, this study uses climate-related development mitigation finance as a proxy of green finance and investigates the impact of…

Abstract

Purpose

Considering the evolving importance of green finance, this study uses climate-related development mitigation finance as a proxy of green finance and investigates the impact of green finance on ecological footprint as an indicator of environmental quality along with the influence of economic growth, renewable energy, greenhouse gas emissions, trade openness and urbanization across 47 developing countries over the period 2000–2018.

Design/methodology/approach

After finding the presence of cross-sectional dependency among variables, the second-generation panel unit root test was employed to detect the order of integration among the variables. Since all the variables were found to be stationary, Westerlund cointegration technique was employed to detect the long-run relationship among the variables. Then, the long-run elasticity among the dependent and independent variables was tested using fully modified ordinary least squares (FMOLS), dynamic ordinary least squares (DOLS) and pooled mean group–autoregressive distributed lag (PMG–ARDL) approaches.

Findings

The empirical findings suggest the presence of long-run relationship among all the variables, namely, ecological footprint, green finance, economic growth, renewable energy consumption, greenhouse gas emissions, trade openness and urbanization for the selected developing countries in the sample. Furthermore, economic growth, greenhouse gas emissions, trade openness and urbanization, all have a positive and significant impact on the ecological footprint, whereas renewable energy consumption and green finance have a significant and negative impact on the ecological footprint, which supports the view that environmental quality is improved with the greater use of renewable energy technologies and allocation of greater amounts of more green finance.

Originality/value

The empirical results of this study offer policymakers and regulators some implications for environmental policy for protecting the countries from ecological issues.

Details

Journal of Economic and Administrative Sciences, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1026-4116

Keywords

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