Investigating the nexus between GDP, oil prices, FDI, and tourism for emerging economy: Empirical evidence from the novel fourier ARDL and hidden cointegration

Faisal, Faisal; Rahman, Sami Ur; Chander, Rajnesh; Ali, Adnan; Ramakrishnan, Suresh; Özataç, Nesrin; Ullah, Naseer; Türsoy, Turgut

doi:10.1016/j.resourpol.2021.102368

Cited by 24 publications

(9 citation statements)

References 46 publications

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“…Likewise, in Table 5, the Fourier ADL cointegration test demonstrated remarkable results; it confirms the hidden cointegration among the negative components of our treated variables. The results of this study support the findings of Faisal et al (2021), and the decision was based on the critical values identified by Banerjee et al (2017).…”

Section: Empirical Analysis and Discussionsupporting

confidence: 90%

Energy productivity and environmental quality in Sweden: Evidence from Fourier and non‐linear based approaches

et al. 2023

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This study aims to examine the asymmetric and long‐run effects of energy productivity on the quality of the environment in Sweden. It covers the time series data from 1990Q1 to 2019Q4. Sweden was the first country in 1972 to host a United Nations conference on the environment. Unlike other countries in Europe, Sweden is cognizant of an innovative environment; it hopes to achieve 100% of its electricity from renewable sources by 2040 and lead the way towards a low‐carbon community. The novelty of this study lies in the thorough analysis of how energy productivity affects the quality of the environment in Sweden while controlling for economic growth, trade openness, and financial development utilizing the non‐linear ARDL approach and other robust econometric techniques. Precisely, (i) results indicate non‐linear and asymmetric effects of the variables over long‐term horizons; (ii) energy productivity benefits the environment by lowering CO2 emissions (CO2E) in the long term; (iii) a growth in trade openness positively impacts CO2E; (iv) an increase in financial development and economic growth without eco‐friendly protocols contribute to an increase in CO2E. The findings of this study support the economic theory that energy productivity can stimulate green living and green economic growth. We recommend that policymakers in Sweden invest in energy productivity, pursue R&D that embraces cleaner technologies, and prioritize cleaner, cross‐cutting eco‐friendly policies to combat climate challenges and achieve the long‐term climate policy goals of the EU.

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Section: Empirical Analysis and Discussionsupporting

confidence: 90%

Energy productivity and environmental quality in Sweden: Evidence from Fourier and non‐linear based approaches

et al. 2023

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“…The Fourier ARDL method has been used in some recent studies. 38,[63][64][65][66] On the one hand, none of these studies analyzed the impact of ECX on environmental degradation. On the other hand, studies that test the ECX-environmental degradation relationship without including structural breaks may lead to erroneous policy conclusions.…”

Section: Related Literaturementioning

confidence: 99%

Investigating the environmental Kuznets curve in the five most complex countries: Insights from a modified ecological footprint model

Pata

Hızarcı

2022

Energy & Environment

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Several researchers have focused on the environmental Kuznets curve (EKC) hypothesis to analyze environmental degradation using carbon dioxide (CO2) emissions and ecological footprint as dependent variables. However, analyzes based on these variables neglect the supply side of environmental sustainability. To address this shortcoming, this study aims to examine the determinants of the ecological footprint pressure index (EFPI) in the context of the EKC hypothesis. The EFPI provides a more detailed picture of environmental issues by considering both ecological footprint and biocapacity. Thus, the study aims to add scientific value to the existing literature by analyzing the EFPI under the EKC hypothesis for the first time. Building on this, our research investigates the effects of economic complexity (ECX), per capita income, and renewable energy consumption (REC) on the EFPI by adopting a novel econometric approach. The results of the Fourier autoregressive distributed lag (ARDL) method show a cointegration relationship between income, ECX, renewable energy and EFPI in Germany, Switzerland and Sweden. The long-term elasticities indicate that ECX reduces the EFPI in Germany and Switzerland, while renewable energy mitigates environmental pressure in Switzerland and Sweden. Our findings also confirm the validity of the EKC hypothesis for Germany and Sweden. Based on these findings, the study suggests that ECX, renewable energy and economic growth can all be used as policy instruments to reduce environmental pressure in the three member states of the European Union.

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“…This result resonates with that of Asghar et al ( 2022 ) who concluded that FDI is mostly attracted by the service sector. Although Faisal et al ( 2021 ) found a similar result, theirs was statistically insignificant. On the contrary, our findings deviate from that of Belloumi ( 2020 ) and Chukwudi and Nicholas ( 2021 ) whose studies support the FDI growth–led hypothesis.…”

Section: Empirical Results and Discussionmentioning

confidence: 77%

An empirical assessment of the tripartite nexus between environmental pollution, economic growth, and agricultural production in Sub-Saharan African countries

Ali

Gyamfi

Bekun

et al. 2023

Environ Sci Pollut Res

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A lot of attention has been paid to environmental pollution worldwide, due to the increase in anthropogenic activities. Massive investment in non-renewable energy options raises questions regarding environmental sustainability and how to maximize food and non-food output while still preserving a healthy ecosystem. To this end, the present study explores the three-way nexus between economic growth, CO 2 emission, and agriculture-value added will accounting for other control variables across a balanced panel of selected African economies from 1997 to 2020. Panel econometrics method of the generalized method of moments (two-step difference GMM) is used to obtain a robust result. From the present study, the environmental pollution model shows that economic growth significantly contributes to environmental pollution in Africa. Additionally, the food price index, capital, and FDI promote pollution, while agricultural production and labor decrease pollution. In the case of the economic growth model, the findings reveal that environmental pollution supports the growth-led pollution hypothesis. Also, the food price index and capital ameliorate economic growth, while foreign direct investments decrease economic growth. Finally, the agricultural production model indicates that economic growth increases agricultural production when the interaction term between GDPC and FDI is included in the model. In summary, the combination of explanatory variables, environmental pollution, capital, and foreign direct investment decreases agricultural production. On the contrary, the food price index and labor promote agricultural production in Africa. Furthermore, the study provides a lot of policies for authorities and stakeholders in Sub-Saharan African countries and other developing economies.

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Investigating the nexus between GDP, oil prices, FDI, and tourism for emerging economy: Empirical evidence from the novel fourier ARDL and hidden cointegration

Cited by 24 publications

References 46 publications

Energy productivity and environmental quality in Sweden: Evidence from Fourier and non‐linear based approaches

Energy productivity and environmental quality in Sweden: Evidence from Fourier and non‐linear based approaches

Investigating the environmental Kuznets curve in the five most complex countries: Insights from a modified ecological footprint model

An empirical assessment of the tripartite nexus between environmental pollution, economic growth, and agricultural production in Sub-Saharan African countries

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