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Fiscal and Budgetary Policy Efforts towards Climate Change Mitigation in Romania
| Content Provider | MDPI |
|---|---|
| Author | Florea, Nicoleta Meghisan-Toma, Georgeta-Madalina Puiu, Silvia Meghisan, Flaviu Doran, Marius Niculescu, Mariana |
| Copyright Year | 2021 |
| Description | To mitigate the negative effects of climate change on the environment, the Member States of the European Union implement fiscal measures and commit budgetary expenditures to ensure sustainable economic development. Romania, in line with the Union’s objectives, resorted to the application of a system of environmental taxes and provided in the budgetary policy government expenditures for environmental protection. The aim of the research is to highlight the effects of these measures on the environment by analysing the short-run and long-run causal relationships between greenhouse gas emissions, green taxes and government expenditures on environmental protection. Autoregressive Distributed Lag (ARDL) method and Granger causality tests were used to demonstrate the existence of these relationships and the intensity with which they manifest. Following the analysis, we identified a significant long-run influence of government spending on environmental protection on greenhouse gas emissions but also numerous short-run and long-run causal relationships between greenhouse gas emissions and green taxes, applied in Romania. The results of the research consider the impact of public expenses for environment protection, a variable not yet applied for Romania, on greenhouse gas emissions’ decrease, in correlation with environmental taxes per source of origin. |
| Starting Page | 2802 |
| e-ISSN | 20711050 |
| DOI | 10.3390/su13052802 |
| Journal | Sustainability |
| Issue Number | 5 |
| Volume Number | 13 |
| Language | English |
| Publisher | MDPI |
| Publisher Date | 2021-03-05 |
| Access Restriction | Open |
| Subject Keyword | Sustainability Social Sciences, Interdisciplinary Greenhouse Gas Emissions Climate Change Mitigation Green Taxation Environmental Taxation Climate Action |
| Content Type | Text |
| Resource Type | Article |