On the nature and causes of carbon dioxide emissions in the United States

Abstract

This letter estimates the long-run impacts of shocks to real disposable personal income on the environment in the United States through the use of a structural vector autoregression model. Coal use in the electricity sector and vehicle use data are considered specifically as these are major contributors to carbon dioxide emissions and capture demand from both firms and households.

Keywords:

• carbon dioxide
• EKC
• SVAR
• coal
• petroleum

JEL Classification:

• C32
• Q43
• Q53