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Unveiling the Role of Business Freedom to Determine Environmental Degradation in Developing Countries

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  • Marc Audi

    (1Abu Dhabi School of Management (ADSM), UAE; & University Paris 1 Pantheon Sorbonne, France)

  • Amjad Ali

    (The European School of Leadership and Management (ESLM), Belgium; & Lahore School of Accountancy and Finance, University of Lahore, Pakistan.)

Abstract

Presently, environmental degradation is the prime concern of the world economies as a whole. Following this concern, Sustainable Development Goals designed by the UNDP raise the slogan “Clear Environment for All†. This paper has analyzed the impact of business freedom on environmental degradation in the case of 110 developing countries from 2000 to 2020. Panel least squares and generalized moments methods have been applied to check the impact of explanatory variables on dependent variables. The results show that business freedom and renewable energy consumption have a negative and significant impact on environmental degradation in selected developing countries. The results explain that financial development has a positive and significant impact on environmental degradation in developing countries. Whereas urbanization has a positive and significant impact on environmental degradation. Thus, for the reduction of environmental degradation business freedom and renewable energy consumption should be promoted, whereas negative linkages of urbanization and financial development should be reduced.

Suggested Citation

  • Marc Audi & Amjad Ali, 2023. "Unveiling the Role of Business Freedom to Determine Environmental Degradation in Developing Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 13(5), pages 157-164, September.
    • Handle: RePEc:eco:journ2:2023-05-19
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    Cited by:

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    3. Nursel Aydıntuğ Myrvang & Gamze Sart & Marina Danilina & Mohammad A. Ta’Amnha, 2023. "Impact of Market-Oriented Business Environment and ICT on Sustainable Development: Panel Evidence from the New EU Member States," Sustainability, MDPI, vol. 15(19), pages 1-14, September.
    4. Ullah, Asad & Ali, Amjad, 2024. "Investigating Corruption, Income Inequality, and Environmental Degradation in Pakistan: A Time Series Analysis," MPRA Paper 121291, University Library of Munich, Germany.
    5. Ayiza Arshad & Atif Khan Jadoon & Ambreen Sarwar & Maria Faiq Javaid, 2024. "Towards Asian Countries Sustainable Development: The Nexus between Information and Communication Technology, Energy Consumption and Carbon Dioxide Emission," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(2), pages 1-8.
    6. Marc Audi & Marc Poulin & Amjad Ali, 2024. "Environmental Impact of Business Freedom and Renewable Energy: A Global Perspective," International Journal of Energy Economics and Policy, Econjournals, vol. 14(3), pages 672-683, May.
    7. Marc Audi & Marc Poulin & Amjad Ali, 2024. "Determinants of Business Freedom in Developing Countries: The Role of Institutional Development and Policy Mix," International Journal of Economics and Financial Issues, Econjournals, vol. 14(4), pages 188-199, July.
    8. Sulehri, Fiaz Ahmad & Ali, Amjad, 2024. "Country Risk and Sustainable Development: Mediating Role of Economic Growth," MPRA Paper 121290, University Library of Munich, Germany.
    9. Tehmina Fiaz Qazi & Abdul Aziz Khan Niazi, 2023. "An Analysis of the Determinants of Trust in Virtual Buying: An Interpretive Structural Modeling Approach," Journal of Policy Research (JPR), Research Foundation for Humanity (RFH), vol. 9(2), pages 103-116.
    10. Anam Javaid & Rukhsana Kalim & Muhammad Shahid Hassan, 2024. "The Role of Human Capital in Strengthening Energy Mix-Climate Change Relation: A Study of Selected Low and High Vulnerable Economies," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(1), pages 209-221.
    11. Audi, Marc, 2024. "A Discussion on the Role of International Regimes in Mitigating Global Warming and Climate Change," MPRA Paper 121586, University Library of Munich, Germany.

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    More about this item

    Keywords

    renewable energy consumption; business freedom; environmental degradation;
    All these keywords.

    JEL classification:

    • Q30 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - General
    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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