How does urbanization affect carbon dioxide emissions? A cross-country panel data analysis

• Published in: Energy policy Vol. 107; pp. 678 - 687
• Main Authors: Zhang, Ning, Yu, Keren, Chen, Zhongfei
• Format: Journal Article
• Language: English
• Published: Kidlington Elsevier Ltd 01.08.2017; Elsevier Science Ltd
• Subjects: Asia; carbon; Carbon dioxide; Carbon dioxide emissions; Data analysis; Data processing; Density; Emissions; Emissions control; Energy policy; Impact analysis; issues and policy; Longitudinal studies; Modernization; Panel data; Policy making; Population density; STIRPAT; Studies; Two-way fixed effects model; Urban concentration; Urban primacy; Urbanization; Asia; Urbanization; Urban primacy; Carbon dioxide emissions; Two-way fixed effects model; STIRPAT
• ISSN: 0301-4215; 1873-6777
• DOI: 10.1016/j.enpol.2017.03.072

As a crucial indicator of modernization, urbanization has significant effects on carbon dioxide emissions. Using a panel data of 141 countries over the period of 1961–2011, this paper analyzes the impact of urbanization on carbon dioxide emissions empirically. We employ two-way fixed effects model based on the extended STIRPAT theoretical frameworks. Our results show that there is an inverted U-shaped relationship between urbanization and carbon emissions and the turn point is around 73.80%. But excessive urban concentration can claim the benefits of high-level urbanization. These findings can also help policy makers to use efficient urbanization to curb the carbon emissions, especially for the Asian countries that with high density of population. •It uses a cross-country panel data of 141 countries over the period 1961–2011.•It employs two-way fixed effects model based on the extended STIRPAT framework.•There is inverted U-shaped relationship between urbanization and carbon emissions.•The turning point for OECD countries is 73.80% on urbanization.•Excessive urban concentration can claim the benefits of urban agglomeration.