This research seeks to enhance the current literature by exploring the nexus among environmental contamination, economic growth, energy use, and foreign direct investment in 6 selected sub-Saharan African nations for a time of 34 years (1980–2014). By applying panel unit root (CADF and CIPS, cross-sectional independence test), panel cointegration (Pedroni and Kao cointegration test, panel PP, panel ADF), Hausman poolability test, and an auto-regressive distributed lag procedure in view of the pooled mean group estimation (ARDL/PMG), experimental findings disclose that alluding to the related probability values, the null hypothesis of cross-sectional independence for all variables is rejected because they are not stationary at levels but rather stationary at their first difference. The variables are altogether integrated at the same order I(1). Findings revealed that there is a confirmation of a bidirectional causality between energy use and CO 2 in the short-run and one-way causality running from energy use to CO 2 in the long run. There is additionally a significant positive outcome and unidirectional causality from CO 2 to foreign direct investment in the long run yet no causal relationship in the short run. An increase in energy use by 1% causes an increase in CO 2 by 49%. An increase in economic growth by 1% causes an increment in CO 2 by 16% and an increase in economic growth squared by 1% diminishes CO 2 by 46%. The positive and negative impacts of economic growth and its square approve the EKC theory. To guarantee sustainable economic development goal, more strict laws like sequestration ought to be worked out, use of sustainable power source ought to be stressed, and GDP ought to be multiplied to diminish CO 2 by the utilization of eco-technology for instance carbon capturing, to save lives and also to maintain a green environment.

This study analyzed the asymmetric effects of financial development on economic growth using a model augmented with inflation and government expenditure asymmetries to inform model specification. The research question used entails, Do their asymmetry changes significantly influence growth? Using the nonlinear auto-regressive distributive lag (NARDL), the most significant results posit that positive shocks in financial development in the short run and its negative shocks in the long run increase and decrease economic growth, respectively. Regarding inflation, its positive (negative) shocks in both runs, respectively, reduce (increase) economic growth. In comparison, positive shocks in financial development that spur growth in the short run and negative shocks in financial development (government expenditure) that increase (reduce) growth are the most domineering effects as the rest of the shocks insignificantly affect growth. Results clearly demonstrate to an environment steered by stable and sustainable inflation that regulated government expenditure and comprehensive financial system deepening would positively cause economic growth. Therefore, appropriate policies that favor low inflation and reduced government spending, expansion of feasibly reformed financial institutions, capital accumulation, and increased resource mobilization should be instituted if real growth is to positively happen.

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This paper investigated the trade-off and inflation drivers based on the Phillips curve framework to determine the relationship and their impact between inflation, unemployment and output for Kenyan case from 2006:M1 to 2016:M12 by contrasting the 2SLS on 2 different measures of marginal cost with 3 differently instrumented shocks. Results confirmed; (1) significant trade-off that reduced inflation by 2.09% and 0.08% when unemployment and output respectively increase by 1%, while, 1% increase in output demeaned unemployment by 0.02%, (2) the forward-looking inflation and unemployment significantly drive observed inflation, and (3) unlike monetary supply, oil shocks best accounts for the observed dynamics. Although laudable policies been implemented by fiscal and macro-economic planners, they have not achieved the odds to sufficiently contain the import shocks, making both unemployment and the rational expectations to significantly drive the observed inflation. However, revisiting of the incumbent fiscal policies and their tight implementation would facilitate long term price stabilities to reduce the inflationary dynamics. To the significant import shocks, the state should foster feasible macro-economic diversifications, investments policies, modern technologies in real economic activity production, and renewable energy sourcing that would facilitate robust economic growth that would curb large revenue outflows due to commodity imports and cushioning the devaluation of the Kenyan shilling.

This research seeks to enhance the current literature by exploring the nexus among environmental contamination, economic growth, energy use and foreign direct investment in 6 Selected Sub-Saharan-African-nations for a time of 34 years (1980-2014). By applying, panel unit root (CADF and CIPS, Cross-sectional independence test), panel cointegration (Pedroni and Kao cointegration test, Panel PP, Panel ADF), Hausman poolability test and an auto-regressive distributed lag procedure in view of the pooled mean group estimation (ARDL/PMG), experimental findings discloses that alluding to the related probability values, the null hypothesis of cross-sectional independence for all variables is rejected because they are not stationary at levels but rather stationary at their first difference. The variables are altogether integrated at the same order I(1). Findings revealed that there is a confirmation of a bi-directional causality between energy use and CO2 in the short-run as well as one-way causality running from energy use to CO2 in the long run. There is additionally a significant positive outcome and uni-directional causality from CO2 to foreign direct investment in the long-run yet no causal relationship in the short-run. An increase in energy use by 1% causes an increase in CO2 by 49%. An increase in economic growth by 1% causes an increment in CO2 by 16% and an increase in economic growth squared by 1% diminish CO2 by 46%. The positive and negative impact of economic growth and its square approve the EKC theory. To guarantee sustainable economic development Goal, more strict laws like sequestration ought to be worked out, use of sustainable power source ought to be stressed. GDP ought to be multiplied to diminish CO2 by the utilization of eco-technology for instance carbon capturing, to save lives and also to maintain a green environment.