The effect of Development Levels on the Impact of Human Capital on CO2 Emissions in Selected Asian Countries
Carbon dioxide (CO2) is a major component of the ecosystem, but its high concentration, along with the emission of other greenhouse gases, causes global warming, climate change, and environmental degradation. For this reason, the reduction of carbon dioxide emissions has been considered in recent decades. One of the factors that affect CO2 emissions is human capital, the effectiveness of human capital in reducing CO2 emissions depends on the level of development of countries.
This study has investigated the threshold effect of development on the impact of human capital on CO2 emissions in 18 Asian countries during the years 1995-2019 using panel threshold regression model.
The results show that two threshold levels for development should be considered. human capital at the level of development less than 27.48 has no significant effect on reducing CO2 emissions. If the level of development is between 27.48 and 29.32, human capital will reduce CO2 emissions. The greatest impact of human capital on reducing carbon dioxide emissions will be when the level of development exceeds 29.32.
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