The relationship between energy consumption, natural resources, and carbon dioxide emission volatility: empirics from G-20 economies
2022
Yu-Ke, Chen | Awan, Rehmat Ullah | Aziz, Babar | Ahmad, Ishtiaq | Waseem, Sarah
The present study investigates the causality between energy consumption, natural resources, and carbon emissions volatility. For empirical results, the study analyzed panel data of a Group of Twenty (G-20) countries from 1995 to 2018. The results of Pooled Mean Group (PMG) showed that the consumption of conventional energy sources increases the carbon emissions in the region under consideration. The results also showed that economic growth and carbon emissions are associated with each other according to the Environmental Kuznets Curve hypothesis. The findings showed that rent on mineral resources, oil resources, and forest rent have a positive and significant impact on carbon emissions in G-20 countries. The findings of this study show the complex nature of the relationship between natural resources consumption and carbon dioxide emissions. The study suggests a three-dimensional policy framework for the group of twenty countries of economic cooperation to address the environmental issues with a special focus on natural resources preservation and green economic growth.
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