A decomposition analysis of CO2emissions: evidence from Malaysia’s tourism industry

Ng, Tuan Hock and Lye, Chun Teck and Lim, Ying San (2015) A decomposition analysis of CO2emissions: evidence from Malaysia’s tourism industry. International Journal of Sustainable Development & World Ecology, 23 (3). pp. 266-277. ISSN 1350-4509

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Official URL: http://doi.org/10.1080/13504509.2015.1117534

Abstract

The most important question raised from issues of environmental degradation is how economic activities bring about changes that will result in pollution. In the pursuit of tourism economy, contrary to popular interest, the travel and tourism (T&T) industry may cause environmental damages through the emissions of carbon dioxide (CO2) from energy consumption in areas such as transportation and delivery of amenities. Given this major concern, this paper attempts to investigate the linkage between tourism and CO2 emissions in Malaysia between 1981 and 2011. In particular, this study fills the knowledge gap by taking a closer look at the impact of international tourist arrivals on CO2 emissions by sector – electricity and heat generation and transport. Results from the bound test method suggest that there exists a long-run relationship among the variables under consideration when CO2 emissions become the dependent variable. The original result is similarly robust to alternatives, which are CO2 emissions from sectors of electricity and heat generation and transport. Furthermore, the vector error correction model causality analysis indicates a causal relationship between tourism and CO2 emissions by transport and electricity and heat generation. Subsequently, several tourism-related policies are drawn from these findings.

Item Type: Article
Uncontrolled Keywords: Tourism, CO2 emissions, energy consumption, economic growth, Malaysia, sustainability
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28-70 Management. Industrial Management
Divisions: Faculty of Business (FOB)
Depositing User: Ms Suzilawati Abu Samah
Date Deposited: 06 Feb 2017 03:55
Last Modified: 06 Feb 2017 03:55
URI: http://shdl.mmu.edu.my/id/eprint/6417

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