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The rise and fall of the energy-carbon Kuznets curve: Evidence from Africa

Author

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  • Olatunji A. Shobande

    (University of Aberdeen, UK)

  • Simplice A. Asongu

    (Yaoundé, Cameroon)

Abstract

Purpose – This paper provides an analysis of the energy-carbon Kuznets curve hypothesis (CKC) using a second-generation panel methodology. Design/methodology/approach – Specifically, we investigate whether energy consumption, natural resources, and governance explain the CKC proposition. Our empirical strategy is based on the Westerlund panel cointegration test, augmented mean group (AMG), and vector autoregressive (VAR) panel Granger-causality tests. Findings – The results suggest that the CKC hypothesis is incomplete without these mechanisms, as they play a critical role in reducing carbon emissions in Africa. We recommend improving the environmental standards and proper regulatory and monitoring systems to reduce carbon emissions and promote sustainable development in the continent. Originality/value –The study revisits the CKC hypothesis with particular emphasis on governance and more robust empirical estimation techniques.

Suggested Citation

  • Olatunji A. Shobande & Simplice A. Asongu, 2021. "The rise and fall of the energy-carbon Kuznets curve: Evidence from Africa," Working Papers of the African Governance and Development Institute. 21/069, African Governance and Development Institute..
    • Handle: RePEc:agd:wpaper:21/069
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    Cited by:

    1. Shobande, Olatunji A. & Asongu, Simplice A., 2022. "The Critical Role of Education and ICT in Promoting Environmental Sustainability in Eastern and Southern Africa: A Panel VAR Approach," Technological Forecasting and Social Change, Elsevier, vol. 176(C).
    2. Olatunji Abdul Shobande & Lawrence Ogbeifun, 2022. "Sustainable Blueprint: Do Stock Investors Increase Emissions?," JRFM, MDPI, vol. 15(2), pages 1-13, February.
    3. Irfan, Muhammad & Elavarasan, Rajvikram Madurai & Ahmad, Munir & Mohsin, Muhammad & Dagar, Vishal & Hao, Yu, 2022. "Prioritizing and overcoming biomass energy barriers: Application of AHP and G-TOPSIS approaches," Technological Forecasting and Social Change, Elsevier, vol. 177(C).
    4. Minyoung Yang & Jinsoo Kim, 2022. "A Critical Review of the Definition and Estimation of Carbon Efficiency," Sustainability, MDPI, vol. 14(16), pages 1-18, August.
    5. Shobande, Olatunji A., 2023. "Rethinking social change: Does the permanent and transitory effects of electricity and solid fuel use predict health outcome in Africa?," Technological Forecasting and Social Change, Elsevier, vol. 186(PB).

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    More about this item

    Keywords

    carbon cuts; Energy consumption; Governance; Climate crisis; Panel analysis; Africa;
    All these keywords.

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q30 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - General
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

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