Economic Growth, Energy Consumption, Environmental Pollution: Case study of Iran Rail Transportation

Energy consumption, economic growth, and pollution are all three components of the economic system the relationship between the three of them those planners to provide appropriate solutions to achieve economic goals with conservation brings. The purpose of this paper is to investigate the short-run and long-term relationships between energy consumption, economic growth and environmental pollution in the rail transport sector. Therefore, using the approach to auto regressive distributed Lag and error correction model to study the relationship between these variables is investigated in time period 2004 – 2015. The results show that the elasticity of energy consumption in the railway transportation sector in the short and long-term is 27 and 43, respectively, relative to the environmental pollution of the railway transportation sector It indicates that with the increase in energy consumption, the index of environmental pollution in the rail transport sector of the country increases. Also, the elasticity of GDP in the transport sector in the short and long run is about 0.4 and 0.8, respectively, relative to environmental pollution, therefore, this indicates that with the increase of GDP in the rail transport sector of the country, environmental pollution will increase in this sector. Also, the error Coefficient correction symbol is negative, as expected. This shows that imbalances are adjusted in the short run to create a long-term equilibrium relationship. The value of this coefficient is -0.36, which means a 36 percent adjustment in each period to a long-term equilibrium.