Environmental Kuznets Curve for carbon emissions in Turkey

The study explores the impacts on carbon dioxide emissions of income, energy consumption, and trade as well as the Granger causality relations between these variables for the period from 1974 to 2011. Also, the chapter evaluates the Environmental Kuznets Curve hypothesis for Turkey by adding trade and energy consumption parameters to the model. Using cointegration analysis and causality techniques the results indicate that the inverted U-shaped relationship is acceptable for Turkey; and CO₂ emissions had been decreasingly growing until the year 2005. Moreover, trade openness and energy use have positive long-run effects on CO₂ emissions. In addition, we find unidirectional short-run causality from CO₂ emissions to energy consumption and long-run causality from trade to energy consumption, income, and CO₂ emissions.