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THE NEXUS BETWEEN TRADE OPENNESS AND ENVIRONMENTAL DEGRADATION: A VECM ANALYSIS

Jurnal Ilmiah Ilmu Terapan Universitas Jambi · Vol. 8 No. 2 (2024) · hlm. 703–719

DOI
10.22437/jiituj.v8i2.36595
ISSN
2580-2259, 2580-2240
Terbit
2024-09-23
Penerbit
LPPM Universitas Jambi
Bahasa
en
Lisensi
creativecommons.org/licenses/by/4.0

Abstrak

This research aimed to analyze the influence of trade openness, ICT, per capita income, and Human Development Index on environmental quality in Upper-Middle Income countries in the short and long term and how per capita income influenced environmental quality in the U-shaped EKC hypothesis in Upper-Middle Income countries over the 1990-2020 periods using the VECM Panel analysis. Several findings were revealed in this research. First, the coefficient of trade openness in the long-term and short-term on environmental quality was positive and statistically significant at the 1% level. Second, the relationship between ICT and environmental quality had a positive influence in the short term and a negative influence in the long term. Third, the relationship between per capita income and environmental quality positively influenced the long- and short-term. In these findings, an increase in per capita income increased carbon dioxide, which caused a decrease in environmental quality and emerged an inverted U relationship in the long- and short-term of the EKC hypothesis in UMI countries, with the turning point in the short-term being US$ 728,530 and in the long-term US$ 772,839. Finally, the Human Development Index in this research positively influences environmental quality in the short- and long-term. The outcomes of this study have considerable Policy implications regarding trade openness policy formulation to reduce environmental degradation, especially in Upper Middle-Income Countries.

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  • State University of Semarang
  • Diponegoro University
  • Universitas Halu Oleo
  • Yogyakarta State University
  • National Research and Innovation Agency
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Rekan penulisOrganisasiArtikel bersama
FX SugiyantoYogyakarta State University1
Muhammad AnasUniversitas Halu Oleo1
Etty SoesilowatiState University of Semarang1
Grace Natalia MarpaungState University of Semarang1
Yozi Aulia RahmanState University of Semarang1
Yustiko Arvan Gilang PangestuState University of Semarang1
Indah SusilowatiDiponegoro University1
Benny ImantriaDiponegoro University1
Annisa FebiDiponegoro University1
Lia AnjarsariDiponegoro University1
Sucihatiningsih Dian Wisika PrajantiState University of Semarang1
Talitha WidiatningrumState University of Semarang1
Dhea Rizky AmeliaState University of Semarang1
Christina LitaayNational Research and Innovation Agency1

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Sumber metadata: OAI-PMH (metadata jurnal) https://online-journal.unja.ac.id/index.php/JIITUJ/oai, pertama di-harvest 5 Nov 2026, terakhir terlihat 8 Nov 2026.
Metadata asli (oai_dc)
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	<dc:title xml:lang="en">THE NEXUS BETWEEN TRADE OPENNESS AND ENVIRONMENTAL DEGRADATION : A VECM ANALYSIS</dc:title>
	<dc:creator xml:lang="en">Wicaksana, Tania</dc:creator>
	<dc:creator xml:lang="en">Widodo, Wahyu</dc:creator>
	<dc:subject xml:lang="en">EKC</dc:subject>
	<dc:subject xml:lang="en">Environment</dc:subject>
	<dc:subject xml:lang="en">ICT</dc:subject>
	<dc:subject xml:lang="en">Income</dc:subject>
	<dc:subject xml:lang="en">Trade Openness</dc:subject>
	<dc:description xml:lang="en">This research aimed to analyze the influence of trade openness, ICT, per capita income, and Human Development Index on environmental quality in Upper-Middle Income countries in the short and long term and how per capita income influenced environmental quality in the U-shaped EKC hypothesis in Upper-Middle Income countries over the 1990-2020 periods using the VECM Panel analysis. Several findings were revealed in this research. First, the coefficient of trade openness in the long-term and short-term on environmental quality was positive and statistically significant at the 1% level. Second, the relationship between ICT and environmental quality had a positive influence in the short term and a negative influence in the long term. Third, the relationship between per capita income and environmental quality positively influenced the long- and short-term. In these findings, an increase in per capita income increased carbon dioxide, which caused a decrease in environmental quality and emerged an inverted U relationship in the long- and short-term of the EKC hypothesis in UMI countries, with the turning point in the short-term being US$ 728,530 and in the long-term US$ 772,839. Finally, the Human Development Index in this research positively influences environmental quality in the short- and long-term. The outcomes of this study have considerable Policy implications regarding trade openness policy formulation to reduce environmental degradation, especially in Upper Middle-Income Countries.</dc:description>
	<dc:publisher xml:lang="en">LPPM Universitas Jambi</dc:publisher>
	<dc:date>2024-09-23</dc:date>
	<dc:type>info:eu-repo/semantics/article</dc:type>
	<dc:type>info:eu-repo/semantics/publishedVersion</dc:type>
	<dc:format>application/pdf</dc:format>
	<dc:identifier>https://online-journal.unja.ac.id/JIITUJ/article/view/36595</dc:identifier>
	<dc:identifier>10.22437/jiituj.v8i2.36595</dc:identifier>
	<dc:source xml:lang="en">Jurnal Ilmiah Ilmu Terapan Universitas Jambi; Vol. 8 No. 2 (2024): Volume 8, Nomor 2, December 2024; 703-719</dc:source>
	<dc:source>2580-2259</dc:source>
	<dc:source>2580-2240</dc:source>
	<dc:language>en</dc:language>
	<dc:relation>https://online-journal.unja.ac.id/JIITUJ/article/view/36595/19089</dc:relation>
	<dc:rights xml:lang="en">Copyright (c) 2024 Tania Wicaksana, Wahyu Widodo</dc:rights>
	<dc:rights xml:lang="en">https://creativecommons.org/licenses/by/4.0</dc:rights>
</oai_dc:dc>