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Revisiting the Kuznets Curve Hypothesis for Tunisia: Carbon Dioxide vs. Ecological Footprint

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  • Ahdi Noomen Ajmi

    (Department of Business Administration, College of Science and Humanities in Slayel, Prince Sattam Bin Abdulaziz University, Al-Kharj, Saudi Arabia)

  • Roula Inglesi-Lotz

    (Department of Economics, University of Pretoria, Private Bag X20, Hatfield 0028, South Africa)

Abstract

The purpose of this study is to examine the validity of the EKC hypothesis for Tunisia for the period from 1965 to 2013 by using the CO2 emissions and the Ecological footprint as proxies for environmental degradation, with the latter being considered in the literature as a more inclusive indicator. The findings of the estimation stipulate a U-shaped curve between CO2 emissions and real per capita GDP meaning that the EKC hypothesis is not valid for this period in Tunisia. However, when using the EF as a proxy for environmental degradation, the results indicate that the EKC hypothesis is valid for Tunisia. The results have significant policy implications, except for the fact that the use of only the CO2 emissions as a proxy for environmental degradation would provide misleading direction to policymakers. The confirmation of the EKC hypothesis implies that the country's policies should be persistent in aiming to improve overall environmental quality.

Suggested Citation

  • Ahdi Noomen Ajmi & Roula Inglesi-Lotz, 2021. "Revisiting the Kuznets Curve Hypothesis for Tunisia: Carbon Dioxide vs. Ecological Footprint," Working Papers 202171, University of Pretoria, Department of Economics.
    • Handle: RePEc:pre:wpaper:202171
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    EKC; carbon dioxide; ecological footprint; Tunisia;
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