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CO2 emissions in BRICS countries: what role can environmental regulation and financial development play?

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  • Muhammad Awais Baloch

    (Baoji University of Arts and Sciences)

  • Danish

    (Guangdong University of Foreign Studies)

Abstract

To ensure sustainability, it is necessary to achieve carbon emission mitigation goals without compromising economic growth. Assessing whether the BRICS countries, which are rapidly growing in terms of economy and carbon emissions, are moving toward achieving sustainable developing goals, through important policy measures and their implementation, is necessary. For this purpose, this study investigates the impact of environmental regulation and financial development on carbon emissions in BRICS countries from 1995 to 2016, employing the most recent data estimation technique common correlated effect means group (CCEMG). The empirical results reveal that financial development contributes to carbon emissions, whereas environmental regulations are also found to degrade the environment by stimulating carbon emissions. Important policy insights are suggested for policymakers to counter environmental challenges.

Suggested Citation

  • Muhammad Awais Baloch & Danish, 2022. "CO2 emissions in BRICS countries: what role can environmental regulation and financial development play?," Climatic Change, Springer, vol. 172(1), pages 1-14, May.
    • Handle: RePEc:spr:climat:v:172:y:2022:i:1:d:10.1007_s10584-022-03362-7
    DOI: 10.1007/s10584-022-03362-7
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    Cited by:

    1. Yao, Shun & Li, Tongxin & Li, Ying, 2023. "Promoting sustainable fossil fuels resources in BRICS countries: Evaluating green policies and driving renewable energy development," Resources Policy, Elsevier, vol. 85(PA).
    2. Umar, Muhammad & Safi, Adnan, 2023. "Do green finance and innovation matter for environmental protection? A case of OECD economies," Energy Economics, Elsevier, vol. 119(C).

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