<abstract xmlns="http://www.w3.org/1999/xhtml">

<bold>Research background:</bold> CO2 emissions are considered to be the main reason for global warming, and for this reason, their regulation is a very important issue for governments. Due to the increasing use of energy, carbon dioxide emissions have increased dramatically over the past century, with a direct link to economic growth and development. The relationship between CO2 emissions, growth and energy consumption is therefore at the heart of current economic issues.
<bold>Purpose:</bold> This study aimed at examining the relationship among economic growth, carbon dioxide (CO2) emissions and energy consumption in selected MENA countries, in the period 1995–2017.
<bold>Research methodology:</bold> To prove these relations, a stationary data panel methodology is used supported by unitary root and cointegration tests.
<bold>Results:</bold> The results indicated that there is a long-term relationship between CO2 emissions, energy consumption and GDP. In addition, it is found that the elasticity of CO2 emissions with respect to energy consumption is less than one (inelastic), and the elasticity of CO2 emissions with respect to GDP suggests the existence of an Environmental Kuznets Curve. An important finding is that energy consumption has a positive but relatively low effect on CO2 emissions. To reduce CO2 emissions, the countries of the MENA region are being called upon to increase significantly the use of renewable energies and the establishment of a more efficient energy policy.
</abstract>

Research background: CO2 emissions are considered to be the main reason for global warming, and for this reason, their regulation is a very important issue for governments. Due to the increasing use of energy, carbon dioxide emissions have increased dramatically over the past century, with a direct link to economic growth and development. The relationship between CO2 emissions, growth and energy consumption is therefore at the heart of current economic issues.
Purpose: This study aimed at examining the relationship among economic growth, carbon dioxide (CO2) emissions and energy consumption in selected MENA countries, in the period 1995–2017.
Research methodology: To prove these relations, a stationary data panel methodology is used supported by unitary root and cointegration tests.
Results: The results indicated that there is a long-term relationship between CO2 emissions, energy consumption and GDP. In addition, it is found that the elasticity of CO2 emissions with respect to energy consumption is less than one (inelastic), and the elasticity of CO2 emissions with respect to GDP suggests the existence of an Environmental Kuznets Curve. An important finding is that energy consumption has a positive but relatively low effect on CO2 emissions. To reduce CO2 emissions, the countries of the MENA region are being called upon to increase significantly the use of renewable energies and the establishment of a more efficient energy policy.

The Relationship Between Economic Growth, Energy Consumption and CO2 Emission in the Middle East and North Africa (MENA)

Folia Oeconomica Stetinensia

This work is licensed under the Creative Commons Attribution-ShareAlike 4.0 International License.

The Relationship Between Economic Growth, Energy Consumption and CO Emission in the Middle East and North Africa (MENA)

Research background: CO2 emissions are considered to be the main reason for global warming, and for this reason, their regulation is a very important issue for...

The Relationship Between Economic Growth, Energy Consumption and CO₂ Emission in the Middle East and North Africa (MENA)

Published Online: Nov 26, 2021

Page range: 132 - 147

Received: Feb 20, 2021

Accepted: Oct 20, 2021

DOI: https://doi.org/10.2478/foli-2021-0020

Keywords
Energy consumption, Economic growth, CO emissions, cointegration panel, EKC, MENA

© 2021 Mohammed Touitou, published by Sciendo

This work is licensed under the Creative Commons Attribution-ShareAlike 4.0 International License.

The Relationship Between Economic Growth, Energy Consumption and CO2 Emission in the Middle East and North Africa (MENA)

Published Online: Nov 26, 2021

Page range: 132 - 147

Received: Feb 20, 2021

Accepted: Oct 20, 2021

DOI: https://doi.org/10.2478/foli-2021-0020

KeywordsEnergy consumption, Economic growth, CO emissions, cointegration panel, EKC, MENA

© 2021 Mohammed Touitou, published by Sciendo

This work is licensed under the Creative Commons Attribution-ShareAlike 4.0 International License.

The Relationship Between Economic Growth, Energy Consumption and CO₂ Emission in the Middle East and North Africa (MENA)

Keywords
Energy consumption, Economic growth, CO emissions, cointegration panel, EKC, MENA