Analysis of the Existence of Environmental Kuznets Curve (EKC) Hypothesis on CO2 Emission, Energy Consumption, and Economic Growth in Indonesia

Silvia Tri Rahayuningrum
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Abstract

This research explains environmental issues, in the context of Kuznets' theory that links economic growth, energy consumption and CO2 emissions. The focus of the research is to test the Kuznets Environment Curve (EKC) hypothesis in Indonesia in the period 1990-2019 using time series analysis Vector Error Correction Model (VECM). Research findings show that, both in the long and short term, CO2 emissions and energy consumption have a significant impact, while economic growth has no significant impact. These results indicate that the ECC hypothesis is not supported in Indonesia. Emerging policy implications include the transition to clean energy, sustainable farming and forestry management, waste and pollution control, and increased environmental awareness and education. Faced with the complexity of environmental challenges, the implementation of this policy has become crucial toining a balance between environmental sustainability and economic growth.
印度尼西亚二氧化碳排放、能源消耗和经济增长的环境库兹涅茨曲线(EKC)假说存在性分析
库兹涅茨理论将经济增长、能源消耗和二氧化碳排放联系在一起,本研究将在此背景下解释环境问题。研究的重点是利用时间序列分析向量误差修正模型(VECM),检验 1990-2019 年期间印度尼西亚的库兹涅茨环境曲线(EKC)假设。研究结果表明,无论从长期还是短期来看,二氧化碳排放和能源消耗都有显著影响,而经济增长则没有显著影响。这些结果表明,印尼不支持 ECC 假设。新出现的政策影响包括向清洁能源过渡、可持续农业和林业管理、废物和污染控制以及提高环境意识和教育。面对环境挑战的复杂性,如何在环境可持续性和经济增长之间取得平衡,已成为实施该政策的关键。
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