Martin Wagner (Klagenfurt University): "Panel Cointegrating Polynomial Regression Analysis and the Environmental Kuznets Curve"
Karsten Reichold (Klagenfurt University): "Panel Cointegrating Polynomial Regressions: Group-Mean Fully Modified OLS Estimation and Inference"
Fabian Knorre (Dortmund University): "Monitoring Cointegrating Polynomial Regressions: Theory and Application to the Environmental Kuznets Curves for Carbon and Sulfur Dioxide Emissions"
The econometric analysis of environmental Kuznets curves (EKCs), postulating an inverse U-shaped relationship between measures of economic development and measures of emissions, is an active and growing field. This session collects three papers that provide methodological advances for EKC analyses. All three papers consider a parametric polynomial formulation that accounts for the stochastically trending nature of GDP, i.e., all three papers consider cointegrating polynomial regressions. The first two papers consider a panel setting and develop estimation and inference techniques, the first one pooled estimators in a large cross-section and large time dimension setting and the second one a group-mean estimator in a finite cross-section dimension setting. The third paper develops tools for detecting and dating structural change, in a pure time series setting for the time being. The methods developed in all three papers are applied to similar data sets for carbon dioxide emissions.