The relationship between CO2 emissions, economic growth, health expenditure, and renewable and non-renewable energy consumption: Empirical evidence from Turkey
2022
Karaaslan, Abdulkerim | Çamkaya, Serhat
Turkey's rapid economic growth has attracted attention, as resulting energy demand has increased, and the energy consumed in Turkey is primarily derived from non-renewable sources. In this context, this study investigates the long- and short-term effects of gross domestic product (GDP), health expenditure (HE), and renewable (REC) and non-renewable energy consumption (NREC) on CO₂ emissions in Turkey from 1980 to 2016. The autoregressive distributed lag (ARDL) method is used to examine long- and short-term effects. The Toda–Yamamoto causality test is also employed to study the relationships between the variables. The results of the ARDL method reveal that the variables have a cointegration relationship. The findings suggest that GDP and NREC are correlated to an increase in CO₂, whereas HE and REC are correlated to reducing CO₂ in the long term. Only GDP and REC are determined to be correlated to an increase CO₂ in the short term. According to the Toda–Yamamoto causality test results, a unidirectional causality relationship exists from GDP, HE, REC, and NREC to CO₂. Subsequently, Turkish policymakers are encouraged to pursue policies that promote economic growth through the use of renewable resources, and invest more in health and renewable energy projects to combat environmental pollution.
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