IDEAS home Printed from https://ideas.repec.org/p/smo/raiswp/0438.html
   My bibliography  Save this paper

The Nexus Between Economic Development, Democracy, and Environmental Degradation: Testing the EKC Hypothesis in the BRICS + 6 Countries

Author

Listed:
  • Gulcan Doganay

    (Department of Economics, Abdullah Gul University, Kayseri, Turkey)

Abstract

This study investigates the relationship between economic development, democracy, and carbon emissions in the BRICS + 6 countries, considering the Environmental Kuznets Curve (EKC) Hypothesis. By using the data from 1991 to 2020, it aims to fill the research gap on whether economic development and democratic governance consistently lead to better environmental quality, focusing on carbon emissions as a primary measure. This research is distinctive because it considers the cross-sectional dependency and heterogeneity of the countries involved, employing robust regression models to examine the effects of various factors, including GDP, democracy index, and population, on carbon emissions. The study revisits the EKC hypothesis, which suggests an inverted U-shaped relationship between economic growth and environmental degradation, proposing that environmental quality deteriorates up to a certain income level before improving. However, it also explores critiques of the EKC, recognizing that the trajectory of environmental degradation is influenced by more than just income levels—factors such as technological advancement, economic structure, governmental environmental policies, and the level of democracy also play crucial roles. Expected to provide valuable insights for policy formulation, this research highlights the complex interactions between economic devel-opment, democratic governance, and environmental sustainability. It underscores the necessity of integrating democratic processes with economic and environmental planning to foster sustainable development, offering a nu-anced perspective on the dynamics between democracy, income, and environmental quality in the BRICS + 6 countries.

Suggested Citation

  • Gulcan Doganay, 2024. "The Nexus Between Economic Development, Democracy, and Environmental Degradation: Testing the EKC Hypothesis in the BRICS + 6 Countries," RAIS Conference Proceedings 2022-2025 0438, Research Association for Interdisciplinary Studies.
    • Handle: RePEc:smo:raiswp:0438
    as

    Download full text from publisher

    File URL: https://rais.education/wp-content/uploads/2024/10/0438.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Eberhardt, Markus & Teal, Francis, 2008. "Modeling technology and technological change in manufacturing: how do countries differ?," MPRA Paper 10690, University Library of Munich, Germany.
    2. Hashem Pesaran, M. & Yamagata, Takashi, 2008. "Testing slope homogeneity in large panels," Journal of Econometrics, Elsevier, vol. 142(1), pages 50-93, January.
    3. Cemil Serhat AKIN, 2014. "The Impact of Foreign Trade, Energy Consumption andIncome on Co2 Emissions," International Journal of Energy Economics and Policy, Econjournals, vol. 4(3), pages 465-475.
    4. Grossman, G.M & Krueger, A.B., 1991. "Environmental Impacts of a North American Free Trade Agreement," Papers 158, Princeton, Woodrow Wilson School - Public and International Affairs.
    5. M. Hashem Pesaran, 2007. "A simple panel unit root test in the presence of cross-section dependence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(2), pages 265-312.
    6. Pesaran, M. Hashem & Vanessa Smith, L. & Yamagata, Takashi, 2013. "Panel unit root tests in the presence of a multifactor error structure," Journal of Econometrics, Elsevier, vol. 175(2), pages 94-115.
    7. Roger Perman & David I. Stern, 2003. "Evidence from panel unit root and cointegration tests that the Environmental Kuznets Curve does not exist," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(3), pages 325-347, September.
    8. Joakim Westerlund, 2005. "New Simple Tests for Panel Cointegration," Econometric Reviews, Taylor & Francis Journals, vol. 24(3), pages 297-316.
    9. Yoori Kim & Soohyeon Kim & Jungho Baek & Eunnyeong Heo, 2019. "The linkages between democracy and the environment: Evidence from developed and developing countries," Energy & Environment, , vol. 30(5), pages 821-832, August.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hussein Moghaddam & Robert M. Kunst, 2023. "The Role of Natural Gas in Mitigating Greenhouse Gas Emissions: The Environmental Kuznets Curve Hypothesis for Major Gas-Producing Countries," Sustainability, MDPI, vol. 15(5), pages 1-20, February.
    2. Muhammad Shahbaz & Syed Jawad Hussain Shahzad & Mantu Kumar Mahalik & Perry Sadorsky, 2018. "How strong is the causal relationship between globalization and energy consumption in developed economies? A country-specific time-series and panel analysis," Applied Economics, Taylor & Francis Journals, vol. 50(13), pages 1479-1494, March.
    3. Adolfo Maza & Paula Gutiérrez-Portilla, 2022. "Outward FDI and exports relation: A heterogeneous panel approach dealing with cross-sectional dependence," International Economics, CEPII research center, issue 170, pages 174-189.
    4. Kangyin Dong & Xiucheng Dong & Qingzhe Jiang, 2020. "How renewable energy consumption lower global CO2 emissions? Evidence from countries with different income levels," The World Economy, Wiley Blackwell, vol. 43(6), pages 1665-1698, June.
    5. Shahbaz, Muhammad & Nwani, Chinazaekpere & Bekun, Festus Victor & Gyamfi, Bright Akwasi & Agozie, Divine Q., 2022. "Discerning the role of renewable energy and energy efficiency in finding the path to cleaner consumption and production patterns: New insights from developing economies," Energy, Elsevier, vol. 260(C).
    6. Muntasir Murshed & Uzma Khan & Aarif Mohammad Khan & Ilhan Ozturk, 2023. "Can energy productivity gains harness the carbon dioxide‐inhibiting agenda of the Next 11 countries? Implications for achieving sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(1), pages 307-320, February.
    7. Pami Dua & Neha Verma & Deepika Goel, 2024. "Trade, FDI and Emissions in South Asia: Role of Global and Regional Linkages," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 25(2), pages 103-125, September.
    8. Lian Xue & Mohammad Haseeb & Haider Mahmood & Tarek Tawfik Yousef Alkhateeb & Muntasir Murshed, 2021. "Renewable Energy Use and Ecological Footprints Mitigation: Evidence from Selected South Asian Economies," Sustainability, MDPI, vol. 13(4), pages 1-20, February.
    9. Chinazaekpere Nwani & Festus V. Bekun & Bright A. Gyamfi & Ekpeno L. Effiong & Andrew A. Alola, 2023. "Toward sustainable use of natural resources: Nexus between resource rents, affluence, energy intensity and carbon emissions in developing and transition economies," Natural Resources Forum, Blackwell Publishing, vol. 47(2), pages 155-176, May.
    10. Manel Ouni & Khaled Ben Abdallah, 2024. "Environmental sustainability and green logistics: Evidence from BRICS and Gulf countries by cross‐sectionally augmented autoregressive distributed lag (CS‐ARDL) approach," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(4), pages 3753-3770, August.
    11. Aytun, Cengiz & Erdogan, Sinan & Pata, Ugur Korkut & Cengiz, Orhan, 2024. "Associating environmental quality, human capital, financial development and technological innovation in 19 middle-income countries: A disaggregated ecological footprint approach," Technology in Society, Elsevier, vol. 76(C).
    12. Ozcan, Burcu, 2013. "The nexus between carbon emissions, energy consumption and economic growth in Middle East countries: A panel data analysis," Energy Policy, Elsevier, vol. 62(C), pages 1138-1147.
    13. Sencer Atasoy, Burak, 2017. "Testing the environmental Kuznets curve hypothesis across the U.S.: Evidence from panel mean group estimators," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 731-747.
    14. Liton Chandra Voumik & Mohammad Iqbal Hossain & Md. Hasanur Rahman & Raziya Sultana & Rahi Dey & Miguel Angel Esquivias, 2023. "Impact of Renewable and Non-Renewable Energy on EKC in SAARC Countries: Augmented Mean Group Approach," Energies, MDPI, vol. 16(6), pages 1-19, March.
    15. Boulanouar, Zakaria & Essid, Lobna & Omri, Anis, 2024. "Achieving carbon neutrality in emerging markets: The dual impact of energy transition investments on economic growth and carbon emissions," International Review of Economics & Finance, Elsevier, vol. 96(PC).
    16. Ronghui Xie & Shengjie Zhang, 2024. "Re†examining the impact of global foreign direct investment (FDI) inflows on haze pollution—considering the moderating mechanism of environmental regulation," Energy & Environment, , vol. 35(6), pages 3186-3209, September.
    17. Li, Xuelin & Yang, Lin, 2023. "Natural resources, remittances and carbon emissions: A Dutch Disease perspective with remittances for South Asia," Resources Policy, Elsevier, vol. 85(PB).
    18. Hüseyin İçen, 2020. "Environmental Kuznets Curve in D8 Countries: Evidence from Panel Cointegration," EKOIST Journal of Econometrics and Statistics, Istanbul University, Faculty of Economics, vol. 0(32), pages 85-96, June.
    19. Jinhua Shao & Brayan Tillaguango & Rafael Alvarado & Santiago Ochoa-Moreno & Johanna Alvarado-Espejo, 2021. "Environmental Impact of the Shadow Economy, Globalisation, Trade and Market Size: Evidence Using Linear and Non-Linear Methods," Sustainability, MDPI, vol. 13(12), pages 1-20, June.
    20. Mucahit Aydin & Tunahan Degirmenci, 2024. "The impact of clean energy consumption, green innovation, and technological diffusion on environmental sustainability: New evidence from load capacity curve hypothesis for 10 European Union countries," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(3), pages 2358-2370, June.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:smo:raiswp:0438. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Eduard David (email available below). General contact details of provider: http://rais.education/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.