Energy Consumption, Economic Growth and CO2 Emissions in Middle East

Abstract

Energy consumption nowadays has become a global concern for excess Carbon dioxide emission. Excess CO2 emission has created a major concern regarding global environmental sustainability. Middle Eastern countries are well-known for their energy production through fossil fuel consumption. The present research has focused on analysing the impact of CO2 emission, energy consumption and economic growth in Middle Eastern countries. Five countries have been selected for this research United Arab Emirates, Iran, Kuwait, Qatar, and Turkey. Heterogeneity and cross-sectional dependency in the study variables were addressed using second-generation econometric approaches. The cointegration approach developed by Westerlund and Edgerton (2008) proved the existence of a long-run equilibrium among variables in the presence of structural breaks. Environmental carbon emissions rise as a result of economic growth The results prove that alternative sources of energy consumption should be employed to achieve environmental and economic sustainability.

Carbon Dioxide Emissions and Its Socio-Economic Drivers Nexus: Empirical Evidence from MENA Countries

“…The environmental degradation, linked to economic growth, is found to be unidirectional, contrasting with bidirectional findings in prior research by Bunnag [57], Donkor et al [7], and Alkasasbeh, et al [38]. A unidirectional causality from CO 2 to energy use aligns with the validation of this hypothesis by Chirilus and Costea [59].…”

“…Paradoxically, exports and economic development emerge as catalysts for increased carbon emissions in the long term. This complex interplay between factors is further echoed in the investigations conducted by Alkasasbeh et al [38] within Middle Eastern nations, where akin repercussions concerning the nexus between economic growth and CO 2 are identified.…”

“…Within the timeframe of 1980 to 2020 and focusing on five Middle Eastern countries, Alkasasbeh et al [38] observed a bidirectional relationship between CO 2 emissions and economic growth. Additionally, the study identified unidirectional causality from energy consumption to economic growth and from CO 2 emissions to energy consumption in this regional context.…”

How Sustainable is Environmental Economics? A Review of Research Trends and Implications

“…Current research trends within this stream reveal a burgeoning interest in the green economy and environmental accounting methodologies (Alsmadi and Alzoubi, 2022;Shoeb et al, 2022). Additionally, studies exploring the relationship between renewable energy consumption and economic growth (Al-Kasasbeh et al, 2023;Wahyudi and Palupi, 2023) highlight the evolving landscape of environmental economics. The scientometric analysis by Taqi et al (2021) and empirical studies assessing the environmental Kuznets curve hypothesis (Mougenot et al, 2022;Setyari, 2021) emphasize the diverse avenues of exploration within this dynamic field.…”

“…Insights from Boyd and Banzhaf (2007) regarding ecosystem services and Zhang and Cheng (2009) exploration of the relationship between energy consumption, carbon emissions, and economic growth contribute significantly to the ongoing discourse. Recent studies, such as those by Jadoon et al (2022) and Al-Kasasbeh et al (2023), provide empirical evidence on the nexus between environmental degradation, economic growth, and the pivotal role of renewable energy consumption.…”