4.7 Article

A comparative analysis of the relationship between innovation and transport sector carbon emissions in developed and developing Mediterranean countries

Journal

ENVIRONMENTAL SCIENCE AND POLLUTION RESEARCH
Volume 28, Issue 33, Pages 45693-45713

Publisher

SPRINGER HEIDELBERG
DOI: 10.1007/s11356-021-13390-y

Keywords

Innovation; Transport sector; Carbon emissions; Mediterranean countries; PANIC; Panel co-integration; FMOLS DOLS

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This study investigates the impact of innovation on carbon emissions stemming from the transportation sector in Mediterranean countries. It found that an increase in innovation levels in both developing and developed countries has a positive effect on carbon emissions due to transportation, with a stronger impact seen in developed countries.
Innovation technologies have been recognized as an efficient solution to alleviate carbon emissions stem from the transport sector. The aim of this study is to investigate the impact of innovation on carbon emissions stemming from the transportation sector in Mediterranean countries. Based on the available data, Albania, Algeria, Bosnia and Herzegovina, Croatia, Egypt, Morocco, Tunisia, and Turkey are selected as the 8 developing countries; and Cyprus, France, Greece, Israel, Italy, and Spain are selected as the 6 developed countries and included in the analysis. Due to data constraints, the analysis period has been determined as 1997-2017 for the developing Mediterranean countries and 2003-2017 for the developed Mediterranean countries. After determining the long-term relationship with the panel co-integration method, we obtained the long-term coefficients with PMG and DFE methods. The empirical test results indicated that the increments in the level of innovation in developing countries have a positive impact on carbon emissions due to transportation if the innovation results from an increase in patents. An increase in the level of innovation in developed countries has a positive impact on carbon emissions due to transportation if the innovation results from an increase in trademark. As a result, innovation level has a positive effect on carbon emissions due to transportation, and this effect is stronger for developed countries.

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