Table 3

Estimation of EKC models for India

VariablesModel 1Model 2
Long-runShort-runLong-runShort-run
GDPPC0.0011*** (0.0003)0.0027*** (0.0005)0.3823*** (4.1419)2.5047*** (4.6648)
GDPPC2−0.0000 (0.0000)−0.0000**** (0.0000)0.0001** (2.3727)−0.0044*** (-4.8145)
GDPPC3−0.0000*** (0.0000)0.0000*** (0.0000)−0.0000*** (−7.1727)0.0000*** (4.8327)
Crude oil price−0.0015** (0.0005)−0.0009*** (0.0002)−0.1178** (−2.9326)−0.3190*** (−3.2847)
Petroleum consumption−0.0000 (0.0000)0.0001** (0.0000)0.07482*** (13.2693)0.0707*** (6.1319)
Trade openness0.0057** (0.0024)0.0008 (0.0012)−1.5929*** (−8.3154)−36.3374*** (−14.0013)
FDI  5.5617*** (5.9571)−11.5328*** (−4.3841)
Size of government  10.2671*** (14.1573)27.7889*** (14.0115)
Break1993−0.0057 (0.0053)−0.0062 (0.0054)23.9877*** (11.3482)64.9250*** (9.4844)
Trend−0.0099** (0.0031)−0.0108*** (0.0027)−2.2457*** (−3.8060)−6.07817*** (−4.3306)
Constant (C)−0.1404* (0.0715) −92.0408*** (−4.4271) 
Error correction term −1.0872*** (0.1539) −2.7066*** (−15.3902)
R2 0.9972 0.9997
DW 2.3409 2.2051

Note(s): ***, ** and * denote level of significance at 1, 5 and 10%, respectively. Figures in parenthesis represent standard errors

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