Globalization, Energy Consumption, Environmental Degradation, in The Presence of Environmental Kuznets Curve for Developed Countries. Static and Dynamic Panel Data Approach (1980-2019)

Abstract

"The global industrialization process has led to a rapid economic growth for all countries around the world. The continued development in economic growth, and the human reliance on energy consumption is resulting in high increase of CO2 emissions. Many researchers assumed that the problem of global climate change caused by the aggravation of greenhouse gas emissions. The specific relationship between economic growth and environmental quality has been discussed clearly by Kuznets (1955) who founded one of the theoretical foundations of the mechanics of this relationship in his paper. This research was based on the EKC theory. The main objective of this research was to investigate the existence of the EKC hypothesis in various economies categorized in developed countries. Panel data has been used to investigate the existence of the EKC in 21 st developed countries covering the period between 1980 to 2019. The results of the study supported the EKC hypothesis for the selected countries; the evidence of EKC is confirmed for those economies. Specifically, GDP per capita makes CO2 emissions diminished. In addition, the LGDP3 implies that the movement of CO2 emissions follows the inverted N-shaped pattern of the EKC hypothesis. "