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Governance, Environmental Vulnerability, and PM2.5 Concentrations: International Evidence

Thai-Ha Le, Youngho Chang, and Donghyun Park

Year: 2021
Volume: Volume 42
Number: Number 6
DOI: 10.5547/01956574.42.6.thle
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Abstract:
We extend the EKC framework to examine the role of governance quality and environmental vulnerability in PM2.5 concentrations using a global panel dataset of 128 countries between 2000 and 2014. The results show that governance and education reduce PM2.5 concentrations while environmental vulnerability increases the concentrations. Promoting good governance and education as well as reducing environmental vulnerability can thus contribute to cleaner air. We find qualitatively similar results for the sub-sample of high-income countries, but governance has relatively weaker or insignificant effects for the sub-samples of upper-middle-income and lower-middle-and-low-income countries. High-income countries have strong institutional frameworks that facilitate enforcement of environmental regulations, which are conducive for protecting air quality, whereas other countries have relatively weak institutional capacity. This suggests a need for substantial economic, technological, and financial support from the international community for strengthening the environmental institutional capacity of developing countries.



Energy Efficiency and Energy Governance: A Stochastic Frontier Analysis Approach

J. Barrera-Santana, G.A. Marrero, and F.J. Ramos-Real

Year: 2022
Volume: Volume 43
Number: Number 6
DOI: 10.5547/01956574.43.6.jbar
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Abstract:
This work analyzes the impact of energy governance on energy efficiency in a set of 29 OECD countries. A Stochastic Frontier Analysis (SFA) approach is conducted to estimate the energy efficiency levels in this sample of countries between 2000 and 2015. Energy governance is measured by an Energy Efficiency Governance Index (EEGI) constructed in Barrera-Santana et al. (2020). The results suggest that increasing the average quality of energy governance by 10% could raise energy efficiency levels by around 9.20%, according to the estimate of our preferred SFA model. To achieve this outcome there are two key requirements: set quantified and achievable targets, and carry out an extensive evaluation of the results of energy policies. Our results are robust to different econometric approaches and variations of the EEGI.





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