The Effect of Economic Freedom on Environmental Quality in OPEC Countries (with using Panel-ARDL Approach)
Increasing concentrations of carbon dioxide in the atmosphere has become one of the most important issues in the world. This increase has persuaded many economic researchers to empirically examine the factors that influence emissions and environmental quality. One of the variables affecting carbon dioxide emissions is the economic freedom that has been ignored in many studies. Therefore, this study aims to investigate the effect of economic freedom on carbon dioxide emissions (as an alternative variable for environmental quality) in OPEC countries (including Iran) over the period 1996-2014 using panel-ARDL econometric model. The results show that economic freedom has a negative effect on carbon dioxide emissions (or in other words, positive impact on environmental quality) in OPEC member countries and the Kuznets curve is not confirmed in these countries.
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