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Analyzing the Threshold Effect in the Relationship Between Income and Environmental Degradation in the Middle East and North Africa Region

Author

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  • Muhammad Azam

    (Abdul Wali Khan University Mardan)

  • Hina Khan

    (Abdul Wali Khan University Mardan)

  • Zia Ur Rehman

    (Qurtuba University of Science and Information Technology
    Woman University)

Abstract

This study empirically explores the legitimacy of the Environmental Kuznets Curve (EKC) hypothesis for four economies from the Middle East and North Africa (MENA) region, considering the environmental quality measured by carbon dioxide emissions and national income proxied by real GDP per capita from 1980 to 2018, and employed the ARDL approach. The cointegration results reveal that there persist long-run associations among the series of interest and for each country. Results of ARDL show the validity of the EKC hypothesis for Turkey and unconventionality for the UAE in the long run, while reject its validity for Algeria, Egypt, and the UAE in the short run, and for Turkiya and UAE in the long run, while it is not valid for Algeria. Overall, the empirical estimates on the validity of the EKC hypothesis are found mixed. These empirical findings suggest to design efficient, prudent, and economically feasible environmental protection policies, whereas to start public awareness projects to improve environmental quality in order to achieve sustainable development in the region.

Suggested Citation

  • Muhammad Azam & Hina Khan & Zia Ur Rehman, 2024. "Analyzing the Threshold Effect in the Relationship Between Income and Environmental Degradation in the Middle East and North Africa Region," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 6057-6078, June.
    • Handle: RePEc:spr:jknowl:v:15:y:2024:i:2:d:10.1007_s13132-023-01372-z
    DOI: 10.1007/s13132-023-01372-z
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    More about this item

    Keywords

    Carbon dioxide emissions; EKC; Income; MENA region;
    All these keywords.

    JEL classification:

    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • N55 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Asia including Middle East

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