The Long-Run Effects of Trade Openness on Carbon Emissions in Sub-Saharan African Countries

oleh: Huaping Sun, Love Enna, Augustine Monney, Dang Khoa Tran, Ehsan Rasoulinezhad, Farhad Taghizadeh-Hesary

Format: Article
Diterbitkan: MDPI AG 2020-10-01

Deskripsi

Using a panel cointegration model developed based on the data extracted from the World Bank indicators, this study quantified the relationship between carbon emissions, energy consumption, economic growth, and trade openness in sub-Saharan African countries. It discovered from our analysis that there exists a long-run causality association amongst <inline-formula><math display="inline"><semantics><mrow><msub><mrow><mi>CO</mi></mrow><mn>2</mn></msub></mrow></semantics></math></inline-formula> emissions, energy consumption, economic growth, and trade openness. The study noted the existence of the Environmental Kuznets Curve (EKC) in the panel using the square term for trade openness; it was found to have a negative impact, thus trade in the long run will somewhat decrease the environmental pollution in this region. The study results imply that there should be stringent policies and rigorous enforcement in sub-Saharan African to ensure sustainable growth without associative environmental issues.