TESTING FOR INDUSTRIAL EMISSIONS CONVERGENCE IN INDONESIA: CASE IN JAVA ISLAND
Deni Kusumawardani, Mei Anggun Soraya
Department of Economics
Faculty of Economics and Business
Airlangga University
Abstract
This main objective of this study is to test emissions convergence, absolute and conditional, of manufacturing industries among provinces in Java Island as an industrial base and economic growth in Indonesia. Data consist of six provinces during 2000-2009. Econometrics technique is applied to estimate dynamic model of the convergence. The result shows that the emissions convergence, both absolute and condition, is not confirmed. In other word, emission growth among the provinces tends to be divergent. Statistical test suggest that the emission growth is affected by economic growth and technique effect
Keywords: emissions convergence, technique effect, manufacturing, Indonesia
Topic: Environmental Economics