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Environmental Pollution, Economic Growth and Institutional Quality: Exploring the Nexus in Nigeria

Author

Listed:
  • Samuel Egbetokun

    (CEPDeR, Covenant University, Ota, Nigeria)

  • Evans S. Osabuohien

    (CEPDeR, Covenant University, Ota, Nigeria)

  • Temidayo Akinbobola

    (Obafemi Awolowo University, Ile-Ife, Nigeria)

  • Olaronke Onanuga

    (CEPDeR, Covenant University, Ota, Nigeria)

  • Obindah Gershon

    (CEPDeR, Covenant University, Ota, Nigeria)

  • Victoria Okafor

    (CEPDeR, Covenant University, Ota, Nigeria)

Abstract

The interaction between environmental pollution and economic growth determines the achievement of the green growth objective of developing economies. An economy turns around the inverted U-shaped Environmental Kuznets Curve (EKC) when pollution is effectively dampened by social, political and economic factors as such economy grows. Thus, this study examines the EKC considering the impact of institutional quality on six variables of environmental pollution [carbon dioxide (CO2), Nitrous Oxide (N2O), Suspended Particulate Maters (SPM), Rainfall, Temperature and Total Green House Emission (TGH)] using the case of Nigeria. The EKC model includes population density, education expenditure, foreign direct investment, and gross domestic investment as control variables, and it was analysed using the Auto Regressive Distribution Lag (ARDL) econometric technique, which has not been applied in the literature on Nigeria. The results, inter alia, indicate that there is EKC for CO2 and SPM. This implies that the green growth objective can be pursued in Nigeria with concerted efforts. Other environmental pollution indicators did not exert significant influence on economic growth. Therefore, it is recommended that Nigeria’s institutional quality be strengthened to limit environmental pollution in light of economic growth.

Suggested Citation

  • Samuel Egbetokun & Evans S. Osabuohien & Temidayo Akinbobola & Olaronke Onanuga & Obindah Gershon & Victoria Okafor, 2019. "Environmental Pollution, Economic Growth and Institutional Quality: Exploring the Nexus in Nigeria," Working Papers 19/059, European Xtramile Centre of African Studies (EXCAS).
    • Handle: RePEc:exs:wpaper:19/059
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    References listed on IDEAS

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    Cited by:

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    2. Ayodele Asekomeh & Obindah Gershon & Smith I. Azubuike, 2021. "Optimally Clocking the Low Carbon Energy Mile to Achieve the Sustainable Development Goals: Evidence from Dundee’s Electric Vehicle Strategy," Energies, MDPI, vol. 14(4), pages 1-23, February.
    3. Uchechukwu E. Okorie & Evans S. Osabuohien & Hassan E. Oaikhenan, 2020. "Electricity Consumption, Public Agricultural Expenditure and Output in Nigeria: A Time Series Dynamic Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 10(2), pages 113-123.
    4. Hao Xu & Yeqing Wang & Hongwei Liu & Ronglu Yang, 2020. "Environmental Efficiency Measurement and Convergence Analysis of Interprovincial Road Transport in China," Sustainability, MDPI, vol. 12(11), pages 1-16, June.
    5. Bosede Ngozi Adeleye & Darlington Akam & Nasiru Inuwa & Muftau Olarinde & Victoria Okafor & Ifeoluwa Ogunrinola & Paul Adekola, 2021. "Investigating Growth-Energy-Emissions Trilemma in South Asia," International Journal of Energy Economics and Policy, Econjournals, vol. 11(5), pages 112-120.
    6. Muhammad Sohail Amjad Makhdum & Muhammad Usman & Rakhshanda Kousar & Javier Cifuentes-Faura & Magdalena Radulescu & Daniel Balsalobre-Lorente, 2022. "How Do Institutional Quality, Natural Resources, Renewable Energy, and Financial Development Reduce Ecological Footprint without Hindering Economic Growth Trajectory? Evidence from China," Sustainability, MDPI, vol. 14(21), pages 1-25, October.
    7. Weikun Zhang & Peng Gao & Zhe Chen & Hailan Qiu, 2023. "Preventing Agricultural Non-Point Source Pollution in China: The Effect of Environmental Regulation with Digitization," IJERPH, MDPI, vol. 20(5), pages 1-17, March.
    8. Okon Emmanuel O., 2021. "Nigeria: Is There an Environmental Kuznets Curve for Fluorinated Gases?," Open Economics, De Gruyter, vol. 4(1), pages 57-71, January.
    9. Feng Wang & Tayyaba Rani & Asif Razzaq, 2023. "Environmental impact of fiscal decentralization, green technology innovation and institution’s efficiency in developed countries using advance panel modelling," Energy & Environment, , vol. 34(4), pages 1006-1030, June.
    10. Danish I. Godil & Zhang Yu & Arshian Sharif & Rimsha Usman & Syed Abdul Rehman Khan, 2021. "Investigate the role of technology innovation and renewable energy in reducing transport sector CO2 emission in China: A path toward sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 29(4), pages 694-707, July.
    11. Olusola Joshua Olujobi & Daniel E. Ufua & Uchechukwu Emena Okorie & Mercy E. Ogbari, 2022. "Carbon emission, solid waste management, and electricity generation: a legal and empirical perspective for renewable energy in Nigeria," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 22(3), pages 599-619, September.
    12. Folasade Bosede Adegboye & Romanus Osabohien & Felicia O. Olokoyo & Oluwatoyin Matthew & Oluwasogo Adediran, 2020. "Institutional quality, foreign direct investment, and economic development in sub-Saharan Africa," Palgrave Communications, Palgrave Macmillan, vol. 7(1), pages 1-9, December.

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    More about this item

    Keywords

    EKC; Economic Growth; Environmental Pollution; Institutional Quality;
    All these keywords.

    JEL classification:

    • C52 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Model Evaluation, Validation, and Selection
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • P37 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Legal

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