Renewable Energy, Trade and Economic Growth on Nitrous Oxide Emission in G-7 Countries Using Panel ARDL Approach
DOI:
https://doi.org/10.54183/jssr.v3i2.219Keywords:
Nitrous Oxide, Trade Openness, Renewable Energy, Panel, G7 CountriesAbstract
This study's objective is to evaluate the influences of numerous variables, including trade openness, renewable energy, and gross domestic product, on nitrous oxide emissions from 1990 to 2022. The Kao and Pedroni result demonstrates that the variables are cointegrated. This study the relationships between renewable energy, GDP, and trade openness on CO2 emission in G-7 nations. Using the Panel ARDL approach, the results show that, in the long run, there is a positive and significant correlation between GDP and trade openness on nitrous oxide emission in G-7 countries. Additionally, there is an insignificant but positive link between renewable energy and N2O emissions. Our proposal to political leaders and government officials is that they should strongly encourage foreign investors to participate in the production of clean and renewable energy, such as green energy, rather than conventional energy, in order to both support the activities of our economy and promote environmental stability. The government has to impose rigorous environmental laws and regulations, as well as come up with incentives for people to follow those policies, in order to enhance the overall quality of the environment.
References
Ahmed, Z., Wang, Z., & Ali, S. (2019). Investigating the non-linear relationship between urbanization and CO 2 emissions: An empirical analysis. Air Quality, Atmosphere & Health, 12(8), 945–953.
Ahmed, Z., Wang, Z., Mahmood, F., Hafeez, M., & Ali, N. (2019). Does envirnmental sustainability increase the nitrous oxide? Empirical evidence from Malaysia. Environmental Science and Pollution Research, 26(18), 18565–18582.
Ali, R., Bakhsh, K., & Yasin, M. A. (2019). Impact of urbanization on CO 2 emissions in emerging economy: Evidence from Pakistan. Sustainable Cities and Society, 48(April), 101553. https://doi.org/10.1016/j.scs.2019.101553
Ali, S., Rahman, S.U., & Anser, M. K. (2020). Stem Cell Tourism and International Trade of Unapproved Stem Cell Interventions. Annals of Social Sciences and Perspective, 1(2), 79-90.
Al-mulali, U., Binti Che Sab, C. N., & Fereidouni, H. G. (2012). Exploring the bi- directional long run relationship between urbanization, energy consumption, and carbon dioxide emission. Energy, 46(1),156–167.
Bilal, S, Shah, S, Z, A; Rahman, S, U., Jehangir, F, D (2022). Impact of Resource Rents and Institutional Quality on Economic Growth: An Approach of Panel Threshold Analysis. Competitive Educational Research Journal, 3(2), 195-12. Evidence from Turkey. Sci Total Environ 687:423–432
Chaudhary, S., Nasir, N., Rahman, S, U., & Sheikh, S. M. (2023). Impact of Work Load and Stress in Call Center Employees: Evidence from Call Center Employees. Pakistan Journal of Humanities and Social Sciences, 11(1), 160-171.
Hafiza, N, S., Manzoor, M., Fatima, K., Sheikh, S, M., Rahman, S, U., Qureshi, G, K (2022). Motives of Customer’s E-Loyalty Towards E-Banking Services: A Study in Pakistan, Palarch’s Journal of Archaeology of Egypt/Egyptology, 19(3), 1599-1620.
Hafiza, N, S., Rahman, S, U., Sadiq, A., Manzoor, M., Shoukat, Z., & Ali, M. (2023). Effect of FDI, Trade Openness and Employment and Manufacturing Sector Growth: Evidence from Pakistan Based ARDL Approach. Central European Management Journal, 31(1), 733-756
Hassan, K. H. U., Sheikh, S. M., & Rahman, S. U. (2022). The Determinants of Non-Performing Loans (NPLs); Evidence from the Banking Sector of Pakistan. Annals of Social Sciences and Perspective, 3(1), 1-22.
Khan, Y., Afridi, F. A., Shad, F., Rahman, S.U (2022). The Socio-Cultural Factors Influence on Women's Ability to Become Social Entrepreneurs. Competitive Education Research Journal, 3(1), 135-146.
Levin A, Lin CF, Chu CSJ (2002) Unit root tests in panel data: asymptotic and finite sample properties. J Econ 108(1):1–24
Li, D., Bai, Y., Yu, P., Meo, D. M. S., Anees, A. & Rahman, S.U (2022). Does Institutional Quality Matter for Environmental Sustainability? Frontiers in Environmental Science, 1-12.
Liddle B, Sadorsky P (2017) How much does increasing non-fossil fuels in electricity generation reduce carbon dioxide emissions? Appl Energy 197:212–221
Liu M, Ren X, Cheng C, Wang Z, (2022) The role of envirnmental sustainability in CO2 emissions: a semi-parametric panel data analysis for G7. Sci Total Environ 718:137379
Liu X, Zhang S, Bae J (2017) The impact of renewable energy and agriculture on carbon dioxide emissions: investigating the environ-mental Kuznets curve in four selected ASEAN countries. J Clean Prod 164:1239–1247
Love I, Ariss RT (2014) Macro-financial linkages in Egypt: a panel anal-ysis of economic shocks and loan portfolio quality. J Int Financ Mark Inst Money 28:158–181
Love I, Zicchino L (2006) Financial development and dynamic invest-ment behavior: evidence from panel VAR. The Quart Revi of Econo and Fina 46(2):190–210
Mishkin FS (2009) envirnmental sustainability and financial development. J Dev Econ 89(2):164–169
Munir Q, Lean HH, Smyth R (2022) CO2 emissions, energy consump-tion and economic growth in the ASEAN-5 countries: a cross-sectional dependence approach. Energy Econ 85:104571
Odhiambo NM (2010) Energy consumption, prices and economic growth in three SSA countries: a comparative study. Energy Policy 38(5): 2463–2469.
Paramati SR, Ummalla M, Apergis N (2016) The effect of foreign direct investment and stock market growth on clean energy use across a panel of emerging market economies. Energy Econ 56:29–41
Pedroni P (1999) Critical values for cointegration tests in heterogeneous panels with multiple regressors. Oxf Bull Econ Stat 61(S1):653–670
Pesaran MH, Pesaran B (1997) Working with microfit 4.0: interactive econometric analysis;[Windows version]. Oxford University Press
Pesaran MH, Smith R (1995) Estimating long-run relationships from dynamic heterogeneous panels. J Econ 68(1):79–113
Rahman, S. U., & Bakar, N.A., (2018). A Review of Foreign Direct Investment and Manufacturing Sector of Pakistan. Pakistan Journal of Humanities and Social Sciences, 6(4), 582 – 599.
Rahman, S. U., & Bakar, N.A., (2019). FDI and Manufacturing Growth: Bound Test and ARDL Approach. International Journal of Research in Social Sciences, 9(5), 36 –61.
Rahman, S. U., & Bakar, N.A., (2019). Manufacturing sector in Pakistan: A Comprehensive Review for the Future Growth and Development. Pakistan Journal of Humanities and Social Sciences, 7(1), 77 – 91.
Rahman, S., Chaudhry, I. S., Meo, M. S., Sheikh, S. M., & Idrees, S. (2021). Asymmetric effect of FDI and public expenditure on population health: new evidence from Pakistan based on non-linear ARDL. Environmental Science and Pollution Research, 1-16.
Rahman, S.U., Bakar, N. A.., & Idrees, S. (2019). Long Run Relationship between Domestic Private Investment and Manufacturing Sector of Pakistan: An Application of Bounds Testing Cointegration. Pakistan Journal of Social Sciences (PJSS), 39(2).
Salahuddin M, Alam K, Ozturk I, Sohag K (2018). The effects of elec-tricity consumption, economic growth, financial development and foreign direct investment on CO2 emissions in Kuwait. Renew Sust Energ Rev 81:2002–2010
Salman M, Long X, Dauda L, Mensah CN (2019) The impact of institu-tional quality on economic growth and carbon emissions: evidence from Indonesia, South Korea and Thailand. J Clean Prod 241: 118331
Sarwar, F., Ali, S., Bhatti, S. H., & Rahman, S. (2021). Legal Approaches to Reduce Plastic Marine Pollution: Challenges and Global Governance. Annals Of Social Sciences and Perspective, 2(1), 15-20.
Shafique, M, R., Rahman, S. U., Khizar, S., Zulfiqar, M (2021). How does Poverty, Foreign Direct Investment, and Unemployment affect Economic Growth: Evidence from Pakistan co-integration ARDL Approach. International Journal of Research in Economics and Commerce, 2(1), 14-23.
Shahbaz M, Mahalik MK, Shahzad SJH, Hammoudeh S (2019) Testing the environmental sustainability-driven carbon emissions hypothesis: international evidence. Int Econ 158:25–38
Shahbaz M, Nasir MA, Roubaud D (2018) Environmental decline in France: the effects of FDI, financial development, and energy inno-vations. Energy Econ 74:843–857
Shahid, C., Muhammed, G. A., Abbasi, I. A., Gurmani, M. T., & Rahman, S, U. (2022). Attitudes Of Undergraduates and Teachers Towards Evolving Autonomous Learning L2 In Higher Education. Journal of Positive School Psychology, 6(11), 527-544.
Sharma, R., Sinha, A., & Kautish, P. (2021). Does renewable energy consumption reduce nitrous oxide? Evidence from eight developing countries of Asia. Journal of Cleaner Production, 285, 124867.
Shahzadi, H. N., Sheikh, S. M., Sadiq, A., & Rahman, S. U. (2023). Effect of Financial Development, Economic Growth on Environment Pollution: Evidence from G-7 based ARDL Cointegration Approach. Pakistan Journal of Humanities and Social Sciences, 11(1), 68–79.
Sinha, A., 2017. Inequality of renewable energy generation across OECD countries: a note. Renew. Sustain. Energy Rev. 79, 9e14.
Sinha, A., Gupta, M., Shahbaz, M., Sengupta, T., (2019). Impact of corruption in public sector on environmental quality: implications for sustainability in BRICS and next 11 countries. J. Clean. Prod. 232, 1379e1393.
Stern, D.I., 2004. The rise and fall of the environmental Kuznets curve. World Dev. 32 (8), 1419e1439.
Tamazian A, Rao BB (2010) Do economic, financial and institutional developments matter for environmental decline? Evidence from transitional economies. Energy Econ 32(1):137–145
Xu Z, Baloch MA, Meng F, Zhang J, Mahmood Z (2018) Nexus between financial development and CO 2 emissions in Saudi Arabia: analyz-ing the role of envirnmental sustainability. Environ Sci Pollut Res 25(28):28378– 28390
Yang, R., Yuan, L. J., Wang, R., He, Z. X., Lei, L., & Ma, Y. C. (2022). Analyzing the mechanism of nitrous oxide production in aerobic phase of anoxic/aerobic sequential batch reactor from the perspective of key enzymes. Environmental Science and Pollution Research, 1-11.
Yoo SH (2006) The causal relationship between electricity consumption and economic growth in the ASEAN countries. Energy Policy 34(18):3573–3582
Younas, N., Idrees, S., & Rahman, S.U (2021). Impact of Workplace Ostracism on Turnover Intention with mediation of Organizational Cynicism. International Journal of Business and Finance Implications, 2(1), 1-13
Younas, N., Idrees, S., & Rahman, S.U (2021). Impact of Workplace Ostracism on Turnover Intention with mediation of Organizational Cynicism. International Journal of Business and Finance Implications, 2(1), 1-13
Zahra, A., Nasir, N., Rahman, S. U., & Idress, S. (2023). Impact of Exchange Rate, and Foreign Direct Investment on External Debt: Evidence from Pakistan Using ARDL Cointegration Approach. IRASD Journal of Economics, 5(1), 709–719.
Zaidi SAH, Zafar MW, Shahbaz M, Hou F (2019). Dynamic linkages between environmental sustainability, financial development and carbon emissions: evidence from Asia Pacific Economic Cooperation countries. J Clean Prod 228,533–543.
Zhu, L., Fang, W., Rahman, S. U., & Khan, A. I. (2021). How solar-based renewable energy contributes to CO2 emissions abatement? Sustainable environment policy implications for solar industry. Energy & Environment, 0958305X211061886
Zulfiqar, M., Ansar, S., Ali, M., Hassan, K. H. U., Bilal, M., & Rahman, S. U. (2022). The Role of Social Economic Resources Towards Entrepreneurial Intentions. PalArch's Journal of Archaeology of Egypt/Egyptology, 19(1), 2219-2253.
Downloads
Published
Issue
Section
License
Copyright (c) 2023 Copyright in the Journal of Social Sciences Review is retained by the author(s). Authors also grant any third party the right to use the article freely as long as its integrity is maintained and its original authors, citation details and publisher are identified.
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
SSR's Editorial Board shares the vision of providing free access to information, education, and science for everyone, thus promoting its content through an OPEN ACCESS POLICY, fulfilling the DOAJ definition of open access. The JSSR adheres to an Open Access and Copyright Licensing Policy based on the belief that making research freely accessible to the public promotes greater global knowledge sharing.
The JSSR uses the Creative Commons Attribution-NonCommercial 4.0 International License. The authors who apply and publish in JSSR consent to abide by the copyright policy set out in the Creative Commons 4.0 license (Attribution-NonCommercial 4.0 International license).
- Copyright in the Journal of Social Sciences Review is retained by the author(s).
- Authors also grant any third party the right to use the article freely as long as its integrity is maintained and its original authors, citation details and publisher are identified.
While "By 'open access' to this literature, we mean its free availability on the public internet, permitting any users to read, download, copy, distribute, print, search, or link to the full texts of these articles, crawl them for indexing, pass them as data to software, or use them for any other lawful purpose, without financial, legal, or technical barriers other than those inseparable from gaining access to the internet itself."
