Governance, Vulnerability to Climate Change, and Green Growth: International Evidence

22 Pages Posted: 8 Jan 2017

See all articles by Ha Thai Le

Ha Thai Le

RMIT University Vietnam

Youngho Chang

Nanyang Technological University - School of Humanities and Social Sciences

Donghyun Park

Asian Development Bank - Economic Research

Date Written: November 8, 2016

Abstract

We examine the role of governance and vulnerability to climate change in green growth using a global panel data set of 122 countries in 2000‒2012. We find that, as expected, governance has a positive effect on environmental performance and vulnerability to climate change has a negative effect. This suggests that promoting good governance and reducing climate change vulnerability can contribute to a cleaner environment. We find qualitatively similar results for the subsample of high-income countries, but governance does not have a significant effect for the subsamples of upper-middle-income, lower-middle-income, and low-income countries. One possible interpretation is that high-income countries have environmental policies which are strong enough to protect the environment, whereas other countries have relatively weak environmental policies which need to be strengthened.

Keywords: air quality, governance, green growth, PM2.5, vulnerability to climate change

JEL Classification: Q56

Suggested Citation

Le, Ha Thai and Chang, Youngho and Park, Donghyun, Governance, Vulnerability to Climate Change, and Green Growth: International Evidence (November 8, 2016). Asian Development Bank Economics Working Paper Series No. 500. Available at SSRN: https://ssrn.com/abstract=2894763 or http://dx.doi.org/10.2139/ssrn.2894763

Ha Thai Le

RMIT University Vietnam ( email )

702 Nguyen Van Linh Blvd
District 7
Ho Chi Minh City, Ho Chi Minh City
Vietnam
+84-983502188 (Phone)

Youngho Chang

Nanyang Technological University - School of Humanities and Social Sciences ( email )

HSS 04-53, 14 Nanyang Drive
Singapore, 639798
Singapore

Donghyun Park (Contact Author)

Asian Development Bank - Economic Research ( email )

6 ADB Avenue, Mandaluyong City 1550
Metro Manila
Philippines

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