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Carbon Emissions and Growth: The Role of Trade and Urbanization in Sub-Saharan Africa.
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- Abstract:
In this study, we employed a system generalised method of moments (GMM) to investigate the effect of trade, urbanization, and income on the environmental quality in a panel of 48 Sub-Saharan African countries, covering the period 1990-2018. Our findings demonstrated that urbanization does not have significant explanatory power over carbon emissions, whereas, trade positively and significantly drives emissions. Our findings further exhibit an inverted U-shape relationship between income and carbon dioxide emissions. This substantiates the existence of an Environmental Kuznets Curve (EKC) in Sub-Saharan Africa. It is therefore concluded that policymakers can focus on growth-promoting policies and should not adopt stringent conservative policies, which may hurt growth and delay the process of reaching a turning point in the Kuznets curve. [ABSTRACT FROM AUTHOR]
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