The inequality-emissions nexus in the context of trade and development: A quantile regression approach

If the emissions attributed to households' consumption rise in their income in a concave way, higher within country inequality will reduce emissions. To test this negative nexus, the article utilizes simultaneousquantile regressions with per capita CO2 emissions (or energy intensities of GDP) as the dependent variable and draws on country-level panel data. Overall, the estimates vary considerably across quantiles. Regressions with pooled data support the negative inequality-emissions (energy) nexus, whereas regressions with fixed-effects question it. International trade and international investments are mostly positively related to emissions (energy). (C) 2017 Elsevier B.V. All rights reserved.