The Impact of FDI on CO<sub>2</sub> Emissions in Latin America
This paper uses panel Granger causality tests to study the relationship between sector-specific foreign direct investment (FDI) and CO<sub>2</sub> emissions. Using a sample of 18 Latin American countries for the period 1980--2007, we find causality running from FDI in pollution-intensive industries (“the dirty sector”) to CO<sub>2</sub> emissions per capita. This result is robust to controlling for other factors associated with CO<sub>2</sub> emissions and using the ratio of CO<sub>2</sub> emissions to GDP. For other sectors, we find no robust evidence that FDI causes CO<sub>2</sub> emissions.
Year of publication: |
2013
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Authors: | Blanco, Luisa ; Gonzalez, Fidel ; Ruiz, Isabel |
Published in: |
Oxford Development Studies. - Taylor & Francis Journals, ISSN 1360-0818. - Vol. 41.2013, 1, p. 104-121
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Publisher: |
Taylor & Francis Journals |
Saved in:
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