A path towards carbon mitigation amidst economic policy uncertainty in brics: an advanced panel analysis
Loading...
Date
2022
Journal Title
Journal ISSN
Volume Title
Publisher
Springer Science and Business Media Deutschland GmbH
Access Rights
info:eu-repo/semantics/embargoedAccess
Abstract
Continuing economic progress with less environmental damage and achieving a sustainable environment require switching from fossil fuels to green energy. However, alleviating environmental damage of growth has become a major challenge for BRICS where economic progress amidst rising urbanization pollutes the environment. In this context, the fght against climate change and actions towards environmental sustainability are greatly afected by rising economic policy uncertainty. Hence, this study assesses the role of green energy, urbanization, and economic growth in CO2 emissions in the presence of economic policy uncertainty in BRICS (excluding South Africa) from 1997 to 2020. The study used the cross-sectionally augmented auto-regressive distributive lag technique for revealing the short- and long-run efects of the analyzed variables on environmental quality. The empirical evidence suggested that the environmental Kuznets curve exists according to the recent framework of Narayan and Narayan Energy Policy 38:661–666, (2010) because even though economic growth increases CO2 emissions, its long-run efect is less than the short-run efect. Economic policy uncertainty boosts CO2 not only in the short-run but also in the long-run, evidencing that a sustainable environment requires decreasing the levels of policy uncertainty. For BRICS, switching towards green energy is a vital option to decrease environmental deterioration owing to the negative connection between green energy and CO2. The fndings indicated that rapid urbanization is among the causes of high CO2. Furthermore, economic policy uncertainty infuences both green energy and economic growth levels. Finally, policies are recommended to mitigate environmental deterioration.
Description
Keywords
CO2 mitigation · Urbanization · Economic policy uncertainty · Environmental degradation · Green energy
Journal or Series
Environmental Science and Pollution Research
WoS Q Value
Q1
Scopus Q Value
N/A
