Impact of economic growth on carbon emissions in selected West African countries, 1980-2019 (original) (raw)

Impact of economic growth on carbon emissions on selected West African countries

Journal of Money and Business, 2021

Purpose – This study investigated the impact of economic growth on carbon emissions on selected West African countries between 1980 and 2019. Simon-Steinmann’s economic growth model provides the relevant theoretical foundation. The main objective of this study was to ascertain whether economic growth will impact carbon emissions. Design/methodology/approach – The study selected six-sample countries in West Africa and used secondary data obtained through the World Bank Group online database covering the period 1980–2019, employing panel econometric methods of statistical analysis. Findings –The outcome indicates that the independent variable showed a positively significant impact on the dependent variable for the pooled samples in the short-run, with significant cointegration. Research limitations/implications –The study concluded that economic growth significantly impacts the emissions of carbon, and a 1% rise in economic growth will result to 3.11121% unit rise in carbon emissions....

CARBON EMISSIONS AND ECONOMIC GROWTH IN AFRICA: ARE THEY RELATED

Cogent Economics and Finance, 2020

The study the ARDL model, Mean Group (MG), and the Pooled Mean Group (PMG) model to examine the Environemtnal Kuznets Curve (EKC) hypothesis in 43 African countries pooled into 3 income groups from 1980–2016. The EKC hypothesis is accepted in only 21% of the sample but rejected in 70% of the countries in the total sample. This result shows that carbon emissions increase as economic growth increases in 79% of the countries while economic growth will lead to lower carbon emissions in only a few countries (21%). The study concludes that an increase in economic growth will induce higher emissions in most countries in Africa. These countries should take all possible policy actions such as the massive deployment of renewable energy, carbon tax policy, and the carbon emissions trading scheme to curtain growth in carbon emission.

Carbon emissions, and economic growth in Africa

Olubusoye O. E and Dasauki M. C, 2018

In this study, we applied the recently proposed income elasticity approach to investigate the presence of an inverted U relationship also known as the environmental Kuznets curve (EKC) in 20 African countries. we grouped the countries into three panels not according to any know regions, but according to income such as Low-income African economies, lower- Middle African economies and upper-Middle income African economies. We tested for the presence of an inverted U relationship for both individual-specific countries and for the 3 panels using short-run and long-run income elasticity approach. We conclude the presence of an inverted-U relationship exists when long-run Income elasticity is smaller than short-run income elasticity, meaning that as income increase over time, carbon emissions have reduced. In other words, as these individual African countries experience economic growth over time, their carbon emissions level has declined. This empirical finding is true only for Benin, Malawi, cote div our, south Africa, Botswana, and Libya, representing approximately 30% of the sample. With regards to the panel groups, we found evidence supporting the presence of an inverted U relationship only in the panel of low-income African countries with long-run income elasticity smaller than the short-run income elasticity, thus, the low-income African countries have reduced their carbon emissions level as economic growth is attained.

CARBON EMISSIONS AND ECONOMIC GROWTH IN NIGERIA

This study tests the environemtal kuznet curve (EKC) hypothesis to find evidence of an inverted-U realtinship between carbon emissions and economic growth in Nigeria, from 1980-2016 Annual timeseries data was gotten from world development index (WDI). There is an inverted U relationship or a turning point is reached when EKC hypothesis is accepted. The ekc is accepted if there is a positive relationship between GDP and CO2 on the short run and a negative relationship between CO2 and GDP on the long run. The findings shows that Nigeria has not reached a turning point in its level of carbon emissions as economic growth increases. Nigeria is still at the initial stage of growth where carbon emissions accelerate as growth increases. There is need for policies that will broaden the use of renewable energy such as solar, wind energy as energy sources in meeting the energy needs of the fast growing population in Nigeria. There is need to ensure that imported vehicles into Nigeria must meet emission standards to reduce carbon emissions from road transportation. These policies will be instrumental in creating a turning point in carbon emission growth in Nigeria other wise higher carbon emissions will pose higher risk of future climate change impact in Nigeria and to the rest of the world.

The Effect of Economic Growth on Carbon Dioxide Emissions in Sub-Saharan Africa: Decomposition into Scale, Composition and Technique Effects

Modern Economy

The objective of this paper is to decompose the effects of economic growth on carbon emissions into scale, composition and technique effects in a panel of 23 Sub-Saharan African countries between 1996 and 2014. We combine static and dynamic panel estimation technique to quantile regression technique in order to bring out a detailed description of the relationship between carbon emissions and its determinants at different levels of carbon dioxide emissions. The results from static and dynamic estimations reveal that the expansion in the scale and the composition of the economy increase carbon emissions, while improvements in the technology are sufficient to reduce carbon emissions. However, quantile regressions indicate that these three effects are heterogeneously distributed across the dioxide carbon emission levels, and the scale effect holds only at the lower quantiles. The results also indicate that financial development, the size of population and the exports (as a percentage of GDP) have a positive effect on carbon emission, while imports (as a percentage of Gross Domestic Product) reduce it.

Greenhouse gasses emission and economic growth nexus of sub-Saharan Africa

Scientific African, 2019

Notwithstanding the lesser contribution to global warming, sub-Saharan Africa (SSA) remained one of the most vulnerable to climate change due to low economic development, high dependence on natural resources for agricultural production and low technological advancement. There is also limited information on the nexus between economic growth and greenhouse gas emissions (GHG) in the region. Therefore, this study applied the Environmental Kuznets hypothesis to test the relationship between economic growth and GHG emissions in SSA and also test the effect of global GHG emission on economic growth of SSA. Using an aggregated panel data for the period of 1970 to 2012, a Vector Autoregressive and an Ordinary Least Square regression were estimated. From the result, although the relationship between economic growth and environmental quality was established in the short run, there are no clear turning point for the greenhouse gasses. Generally, there is a monotonic decreasing relationship between economic growth and environmental quality in the long-run. Interestingly, this study showed that global GHG emission levels have a long-run effect on the economic growth of SSA. We concluded that to ensure that economic growth leads to an improvement in environmental quality, there must be a global effort to introduce innovations and technologies that can lead to increase production with little GHG emissions. The study recommended that, SSA should consider carbon tax policies other than stringent GHG emission reduction initiatives or climate stabilisation policies that would negatively affect production in the region.

ECONOMIC GROWTH AND CARBON EMISSIONS: A COMPARATIVE STUDY BETWEEN KENYA AND SOUTH AFRICA 4

Economic studies, 2024

This study is a comparative analysis of Kenya and South Africa, the largest economies in Eastern and Southern Africa respectively, based on gross domestic product (GDP), energy use and carbon emissions. This study investigates the contribution of economic growth and renewable energy use on greenhouse carbon dioxide emissions in both country-level and group data, to observe their possible impact on environmental pollution. The present study addresses United Nations Sustainable Development Goal 13, to combat climate change and its impacts. To this end, this study is conducted in Kenya and South Africa using secondary data for the period 1990-2022. As an econometric strategy, we adopt the use of both panel and time series over the highlighted countries. The study employed an ARDL and PMG panel estimation approach to analyze the long-run relationship while Granger causality was conducted to confirm the short-run relationship between study variables. The empirical results show that economic growth and energy use significantly increase carbon emissions in South Africa, Kenya and aggregate data. Moreover, changes in industrial structure and urbanization have a mixed influence on carbon emissions in all models. Furthermore, short-run causality results point to a unidirectional relationship running from economic growth to carbon emissions in Kenya. In contrast, for South Africa, causality runs from carbon emissions to growth. In addition, for panel analysis, the study confirmed a bidirectional relationship. In conclusion, this comparative case study shows that countries with substantial growth in GDP and intensive energy use have high carbon emissions. Given these, the positive relationship poses a dilemma for Kenya and South Africa in their drive to achieve growth and at the same time manage environmental pollution. The empirical findings of this study imply that these countries should take all possible policy actions such as the massive investment and deployment of renewable energy, shifting gradually from non-renewable energy sources to renewable sources, a range of renewable energy sources, especially those that don't generate greenhouse gases, are needed, the use of climate finance to transition to clean

Impact of Economic Growth, Energy Use and Population Growth on Carbon Emissions in Sub-Sahara Africa

Journal of Environmental Science and Engineering B, 2018

The study examines the impact of economic growth, energy use and population growth on carbon emissions in sub Saharan Africa: Kenya, Nigeria, Botswana, Benin, Togo and Mauritius for the period of 1990-2014. The study employed unit root test, co-integration test, VECM (Vector Error Correction Model) and FMOLS (Fully Modified Ordinary Least-Square) as methodologies to model the causality and linear relationships amongst the variables. The VECM was used to identify the long-run causality and asymptotic convergence among the variables. The results reveal that an increase in energy use and population growth by 1% would cause an increase in CO 2 (Carbon Dioxide) concentration by 0.08% and 0.22% correspondingly, whereas in the long-run 1% increase of energy use increases economic output by 0.09%. As the economy grows without contributing to carbon emissions, governments should invest more in renewable energy. Governments should also come up with policies to regulate population growth and fossil energy use.

The impact of economic and financial development on carbon emissions : evidence from Sub-Saharan Africa

2017

I would like to say a big thank you to everyone who supported, guided and encouraged the successful completion of this thesis. Firstly, my earnest gratefulness goes to my supervisor, Dr Senia NHAMO, for her constructive comments, advice, feedbacks and support with words and study materials during the course of my study. I would like to extend my thankfulness to Prof. Godwell NHAMO for his directional contribution and references when I was preparing the background of this work. Their suggestions made the form and content of this thesis to be this comprehensive.