Title: Do energy consumption, economic growth, and financial progress influence carbon dioxide emission? A fresh evidence from Bangladesh
Authors: Uttam Golder
Addresses: Department of Finance and Banking, Jashore University of Science and Technology, Jashore – 7408, Bangladesh
Abstract: The rapid industrialisation of developing countries in the world is causing environmental pollution in many areas. As a part of the international obligation, this study explores whether growing energy use, economic growth, and financial progress influence Bangladesh's environmental degradation. This experiment focuses on the autoregressive distributed lag (ARDL) approach with the existence of structural break, which was identified in 1990 for carbon dioxide (CO2) and used annual data covering 1974-2014 in Bangladesh. The empirical outcomes prove that, in the long run, with the existence of structural break, the burning of energy, economic expansion, and financial progress intensifies the degradation of the atmosphere by emitting CO2 into the environment. This study recommends that policymakers should seek new financial innovations for the country's green economic development to be sustainable. Moreover, the adoption of non-renewable energy is recommended to decrease, and at the same time, it is suggested to adopt renewable energy efficiently to achieve real economic advancement in Bangladesh.
Keywords: CO2 emission; energy consumption; economic growth; financial progress; Bangladesh.
International Journal of Energy Technology and Policy, 2021 Vol.17 No.6, pp.574 - 589
Accepted: 18 Nov 2021
Published online: 28 Feb 2022 *