The environmental Kuznets curve within European countries and sectors: greenhouse emission, production function and technology

Based on the environmental Kuznets curve (EKC) hypothesis and the technological change and the environment literature, our original contribution consists in analysing within the decomposition model the direct and indirect influence of technological change as well as the energy mix on CO2 emissions. Focusing on the dirtiest sectors of 25 EU countries in the period 1997-2005 and considering the endogeneity issue, we estimate an adjusted EKC relationship comparing a single equation model (univariate model) with a simultaneous equations system (bivariate model). Following Lopez (J Environ Econ Manag 27:163-184, 1994), a second equation is introduced where per capita income is a positive functio…