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Can Sustainable Economic Development Curtail Carbon Dioxide Emissions? Insights from Algeria’s Industry

Author

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  • Bouazza Elamine Zemri
  • Sidi Mohamed Boumediene Khetib

Abstract

Historically, Algeria’s industry has significantly driven the country’s economic growth but has also become a notable contributor to carbon dioxide emissions. In an era where climate change threatens our world, understanding the role of sustainable economic development in mitigating environmental impacts is paramount. This study investigates the efficacy of sustainable economic development strategies in reducing CO2 emissions within Algeria’s industrial sector. Utilising an autoregressive distributed lag (ARDL) model to analyse data spanning 1990 to 2021, we explore the dynamic relationship between GDP per capita, industry value added, energy consumption, labour productivity, exports, and CO2 emissions. Our findings reveal that sustainable economic practices significantly reduce CO2 emissions in both the short and long term. The results advocate for a redefined approach to industrial policies, emphasising the potential of sustainable economic strategies to achieve a balance between economic growth and environmental preservation in Algeria and similar contexts globally.

Suggested Citation

  • Bouazza Elamine Zemri & Sidi Mohamed Boumediene Khetib, 2024. "Can Sustainable Economic Development Curtail Carbon Dioxide Emissions? Insights from Algeria’s Industry," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 3, pages 70-83.
    • Handle: RePEc:sgh:gosnar:y:2024:i:3:p:70-83
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    More about this item

    Keywords

    carbon dioxide emissions; Algeria; industrial sector; ARDL approach; sustainable economic development;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • 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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