Can economic and financial development curb CO2 emissions in Qatar?

Abstract

This study investigates the impacts of economic and financial development on carbon emissions in Qatar between 1975 and 2018 by analyzing the results of the ARDL and VECM tests. We do so by considering two model specifications, Model 1 and 2, considering CO2 emission is a dependent variable. In Model 1, economic growth and its square are considered as independent variables to test the basic Environmental Kuznets Curve (EKC) hypothesis. The results provide evidence to confirm the EKC hypothesis for Qatar. In Model 2, various economic and financial variables are specified as regressors, and all the independent variables have a statistically significant impact on CO2 emissions at a 1% level. The coefficient of real income per capita implies that an increase in income will increase carbon emissions by 72%. On the other hand, financial development's carbon elasticity indicates that an increase in financial development will decrease CO2 emissions by 32%. The carbon elasticity of foreign trade signifies that an increase in trade will decrease CO2 emissions by 33%.

Keywords

• EKC hypothesis
• CO2 emissions
• economic growth
• financial development

Ekonomik ve finansal gelişme Katar'daki CO2 emisyonlarını azaltabilir mi?

Abstract

Bu çalışma, ARDL ve VECM testlerinin sonuçlarını analiz ederek Katar'da 1975 ve 2018 yılları arasında ekonomik ve finansal gelişmenin karbon emisyonları üzerindeki etkilerini araştırmaktadır. Bunu, CO2 emisyonunun bağımlı bir değişken olduğunu göz önünde bulundurarak, Model 1 ve 2 olmak üzere iki model spesifikasyonunu dikkate alarak yapıyoruz. Model 1'de, temel Çevresel Kuznets Eğrisi (EKC) hipotezini test etmek için ekonomik büyüme ve karesi bağımsız değişkenler olarak ele alınmıştır. Sonuçlar, Katar için EKC hipotezini doğrulamaktadır. Model 2'de çeşitli ekonomik ve finansal değişkenler regresör olarak belirtilir ve tüm bağımsız değişkenler CO2 emisyonları üzerinde %1 düzeyinde istatistiksel olarak anlamlı bir etkiye sahiptir. Kişi başına reel gelir katsayısı, gelirdeki artışın karbon emisyonlarını %72 oranında artıracağını ima eder. Öte yandan, finansal gelişmenin karbon esnekliği, finansal gelişmedeki artışın CO2 emisyonlarını %32 oranında azaltacağını göstermektedir. Dış ticaretin karbon esnekliği, ticaretteki artışın CO2 emisyonlarını %33 oranında azaltacağını ifade etmektedir.

Keywords

• EKC hipotezi
• ekonomik büyüme
• Karbon emisyonu
• finansal gelişme

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