Examination of Carbon Dioxide Emissions and Renewables in Southeast Asian Countries Based on a Panel Vector Autoregressive Model
Description
Data and econometrics method for the paper called "Examination of Carbon Dioxide Emissions and Renewables in Southeast Asian Countries Based on a Panel Vector Autoregressive Model", what is accepted for publication in the Journal of Cleaner Production.
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Steps to reproduce
1. Open Eviews 13, to open ‘journal_cleaner_product.xlsx’, ‘input_level’ sheet, use file\import\import from file menu, select file and sheet, with the basic structure as ‘Dated panel’, where panel identifier series for cross section ID series: ‘ID’ and date series: ‘time’ are. 2. Set time sample to ‘1990 2021’ for the entire model. 3. Panel VAR model estimation: select quick\EstimateVAR menu, then Var Specification Method: ‘Standard VAR’ with endogenous variables: ‘d(WTI) d(sov_prem) d(log(gdp)) d(consumption) d(CO2) d(renewable) d(ren_co2)’, exogenous variables both long-run and short-run: ‘c IMF’, set lag intervals for diff. endog.: 0 1 years. 4. For model stability test, please select View\Lag structure\AR Roots table or AR Roots graph, where no root lies outside the unit circle, and therefore VAR satisfies the stability condition (each modulus are smaller than 1). This is how Table 5 was estimated. 5. The model used Cholesky (short-run) impulse responses, so we don’t need any change in Proc\SVAR options. 6. For impulse response functions, use view\Impulse responses menu, for Responses select only ‘d(co2)’, set horizon length to 10, for standard errors and confidence intervals the method for SEs and Cis is ‘Monte Carlo with 100 replications’, with ‘display intervals using lines’. This is how Figure 3 was created. 7. For variance decompositions, use view\variance decompositions menu with default settings, this is how Table 6 was estimated. 8. For “Table 1 Descriptive Statistics and Unit-Root Tests” please select all the endogenous variables in the workfile and open a group, where view\descriptive stats menu with ‘Common sample’ settings will provide descriptive statistics, while for unit-root tests, you have to check each variable individually with view\unit root test\cross sectionally independent, select ‘summary’ with 1st difference, individual intercept and set lag length to user specified 1. 9. For “Appendix 1: Panel Vector Error Correction model estimation results Johansen Cointegration test results”, the following steps are needed: select quick\EstimateVAR menu, then Var Specification Method: ‘Vector Error Correction’ with endogenous variables: ‘(WTI) (sov_prem) (log(gdp)) (consumption) (CO2) (renewable) (ren_co2)’, exogenous variables both long-run and short-run: ‘c IMF’, set lag intervals for diff. endog.: 0 1 years. Then in View\Cointegration test… menu select ‘Deterministic assumptions: Case 3a (Johansen-Hendry-Juselius)’ It gives us that zero or 1 cointegration equations are. Then the impulse responses and variance decompositions were estimated by following the aforementioned way. 10. For “Appendix 2: Panel VAR model residuals”, the View\Residuals\Graphs menu must be used.