The Application of Spatial Econometrics in Carbon Emission Research: A Systematic Literature Review

Since the global transition into the industrial era, the rapid economic growth has been accompanied by massive energy consumption, leading to a dramatic increase in global carbon emissions and severe ecological damage, which poses significant threats to human existence and economic development. To formulate effective carbon reduction policies, extensive research has been conducted on carbon emissions. Given the significant spatial spillover effects of carbon emissions, spatial econometric models can provide more accurate modelling and analysis in this area. As a result, spatial econometric methods have been widely applied in the study of carbon emissions. This paper systematically summarises the key achievements of spatial econometrics in the field of carbon emissions, including the spatial distribution and evolutionary characteristics of carbon emissions, their influencing factors, and the integration of spatial econometric models with other methodologies. Based on the existing research, the paper highlights the limitations of the current spatial econometric models in the field of carbon emissions, such as issues for model improvement, data quality, regional heterogeneity and dynamic characteristics of carbon emissions, policy limitations, and insufficient interdisciplinary collaboration as well as methodological integration. Finally, we provide an outlook for future research, focussing on addressing the relevant issues and expanding the global perspective regarding regional carbon emissions.