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Energy consumption, economic growth and CO2 emissions in Middle East and North African countries

Author

Listed:
  • Mohamed El Hedi Arouri

    (LEO - Laboratoire d'économie d'Orleans - UO - Université d'Orléans - CNRS - Centre National de la Recherche Scientifique)

  • Adel Ben Youssef

    (GREDEG - Groupe de Recherche en Droit, Economie et Gestion - UNS - Université Nice Sophia Antipolis (1965 - 2019) - COMUE UCA - COMUE Université Côte d'Azur (2015-2019) - CNRS - Centre National de la Recherche Scientifique - UCA - Université Côte d'Azur)

  • Hatem M'Henni

    (LARIME - Laboratoire de Recherche Interdisciplinaire sur les Mutations des Economies et des Entreprises [Tunis] - ESSECT - Ecole Supérieure des Sciences Economiques et Commerciales de Tunis - Université de Tunis)

  • Christophe Rault

    (LEO - Laboratoire d'économie d'Orleans - UO - Université d'Orléans - CNRS - Centre National de la Recherche Scientifique, CESifo - Center for Economic Studies and Ifo for Economic Research - CESifo Group Munich)

Abstract

This article extends the recent findings of Liu (2005), Ang (2007), Apergis et al. (2009) and Payne (2010) by implementing recent bootstrap panel unit root tests and cointegration techniques to investigate the relationship between carbon dioxide emissions, energy consumption, and real GDP for 12 Middle East and North African Countries (MENA) over the period 1981-2005. Our results show that in the long-run energy consumption has a positive significant impact on CO2 emissions. More interestingly, we show that real GDP exhibits a quadratic relationship with CO2 emissions for the region as a whole. However, although the estimated long-run coefficients of income and its square satisfy the EKC hypothesis in most studied countries, the turning points are very low in some cases and very high in other cases, hence providing poor evidence in support of the EKC hypothesis. CO2 emission reductions per capita have been achieved in the MENA region, even while the region exhibited economic growth over the period 1981-2005. The econometric relationships derived in this paper suggest that future reductions in CO2 emissions per capita might be achieved at the same time as GDP per capita in the MENA region continues to grow.

Suggested Citation

  • Mohamed El Hedi Arouri & Adel Ben Youssef & Hatem M'Henni & Christophe Rault, 2012. "Energy consumption, economic growth and CO2 emissions in Middle East and North African countries," Post-Print halshs-01068261, HAL.
  • Handle: RePEc:hal:journl:halshs-01068261
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-01068261
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    More about this item

    Keywords

    Environmental Kuznets Curve; Carbon dioxide emissions; Growth;
    All these keywords.

    JEL classification:

    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • 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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