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Does FDI and economic growth harm environment? Evidence from selected west African countries

Halliru, Ahmed Malumfashi and Loganathan, Nanthakumar and Hassan, Asan Ali Golam (2020) Does FDI and economic growth harm environment? Evidence from selected west African countries. Transnational Corporations Review . pp. 1-16. ISSN 1918-6444 (In Press)

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Official URL: http://dx.doi.org/10.1080/19186444.2020.1854005

Abstract

This study examines the effect of FDI, economic growth, energy consumption, human capital and biocapacity on carbon emissions in selected West African countries over the period 1970–2017. Employing the long run cointegration estimators, the empirical results confirmed the existence of U-shaped and N-shaped pattern between the estimated variables on CO2 emissions. However, the panel quantile estimates revealed that N-shaped exists only for high carbon emissions countries, but not in the middle and low carbon emissions nations. In addition, the results provide evidence of inverted U-shaped relationship between growth and CO2 emissions and this point to the fact that the EKC hypothesis is valid for ECOWAS countries. The panel quantile causality results indicated that FDI, biocapacity, energy consumption and human capital cause carbon emissions in all the estimated quantiles. The study provided suggestions for policymaking towards reducing carbon emissions in the region.

Item Type:Article
Uncontrolled Keywords:energy consumption, FDI, human capital, West Africa
Subjects:H Social Sciences > HB Economic Theory
H Social Sciences > HF Commerce
Divisions:International Business School
ID Code:90655
Deposited By: Yanti Mohd Shah
Deposited On:30 Apr 2021 22:55
Last Modified:30 Apr 2021 22:55

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