Climate change

Measuring the effect of economic growth on countries' environmental efficiency: A conditional directional distance function approach, Environmental and Resource Economics. DOI: 10.1007/s10640-016-0046-y)

Using a recently developed probabilistic approach of a conditional directional distance function, we measure the effect of economic growth on countries’ environmental efficiency in carbon dioxide emissions for a sample of 99 countries over the period of 1980-2010. Our approach directly accounts for the exogenous factors influencing countries’ environmental production; therefore, we do not impose the separability condition on the estimated environmental efficiencies.