Table 1.
Definition of variables.
| Variables | Definition |
|---|---|
| LnYit | Is the explained variable, representing the regional GDP. We choose per capita GDP as an agent variable. |
| LnCO2it | Is the carbon dioxide emission, measured in metric tons per capita. |
| LnPDit | Is the explanatory variable, representing the population density; population density is a measure of the number of inhabitants of a population in a given area. Population density is usually expressed as individuals per unit area (e.g., inhabitants/km2). |
| LnTR | Is the trade-GDP ratio. |
| LnKit | Is the gross fixed capital formation. Here K is measured in per capita. |
| LnLit | Is the total labor force. |
| μit | Is the random disturbance |