Abstract—This paper aims to estimate the effect of trade liberalization on carbon dioxide CO
2 emissions, using the pooled mean group PMG estimator, for 15 developed and 10 developing countries, over the period 1970 to 2013. The paper concluded that, in the long run, the scale effect dominates the technique effect for all countries, there is no evidence for the composition effect for developed countries, whereas it holds for developing countries, trade intensity have a negative effect for developed countries, whereas it have a positive effect for developing countries, and no evidence for environmental regulations Effect ERE or capital labour ratio effect KLE for all countries. The last results reflect the lack of regulations aimed directly at CO
2 emissions or, CO
2 intensive sectors have not directly faced pressures to relocate.
Index Terms—Pooled mean-group estimator PMG, trade liberalization, CO
2 emissions panels, environmental regulations effect.
Elsayed Mettwally Abd-Elkader is with High Institute for Computer & Management Science, Shoubra-Al Khaimah, Cairo, Egypt (e-mail: elsyedmett@gmail.com).
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Cite: Elsayed Mettwally Abd-Elkader, "Trade Liberalization and Carbon Dioxide Emissions: A Pooled Mean Group Analysis," International Journal of Trade, Economics and Finance vol.9, no.1, pp. 1-7, 2018.