| Summary: | This research aims to analyze the relationship between economic growth and carbon dioxide
emission in East Asia region based on Environmental Kuznets Curve hypothesis. To see the
relationship between economic growth and carbon dioxide emission, this research uses a
quadratic and cubic specification of the empirical model adopted from Dinda (2009) and
Sanglimsuwan (2011) by adding other variable such as population density, urban density,
share of international trade, and the level of FDI as explanatory variables to avoid omitted
variable. We used a balanced panel data of eleven countries in East Asia region from 1985 to
2009. Estimation result indicates that there is an inverted-U relationship for the quadratic
specification model and inverted-N relationship for the cubic specification model between
economic growth and carbon dioxide emissions in East Asia region. This result is useful for
policy makers. Policy makers should integrate emissions regulations into economic
development policies.
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