Journal
APPLIED ECONOMICS
Volume 46, Issue 11, Pages 1202-1211Publisher
ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/00036846.2013.868588
Keywords
air pollutant emissions; convergence; unit roots; trend breaks; US states
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This study examines the stochastic conditional convergence of sulphur dioxide (SO2) emissions using the Residual Augmented Least Squares-Lagrange Multiplier (RALS-LM) unit root test with structural breaks. This procedure allows the data to account for trend breaks and nonnormal errors that have been ignored or deemphasized in previous studies. The study finds that per capita sulphur dioxide emissions exhibits stochastic conditional convergence across US states.
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