Geography and Human Relationships

Geography and Human Relationships

The Effects of Energy Consumption and the Financial Sector on Environmental Pollution Case Study: Iran

Document Type : Original Article

Authors
Siamak Shokouhifard 1
Ali Salmanpour 2
Hatef Hazeri 3
1 Young Researchers and Elite Club, Ardabil Branch, Islamic Azad University, Ardabil, Iran
2 Associate Professor, Department of Economics, Marand Branch, Islamic Azad University, Marand, Iran
3 3- Associate Professor, Faculty of Social Sciences, Mohaghegh Ardabili University, Ardabil, Iran
10.22034/gahr.2024.435341.2032
Abstract
Environmental pollution and factors affecting it are important in any economy. The main goal of this study is the impact of economic growth, energy consumption, financial development and economic openness on environmental pollution in the Iranian economy during 1994 to 2023. Then the environmental Kuznets hypothesis is of particular importance to consider. The model estimate of environmental pollution is the new form of econometric method like dynamic model of Auto-regressive Distributed Lag (ARDL) and Johanson-Joselius. Results show positive relationship between per capita income and environmental pollution variables. The relationship between squared per capita income and environmental pollution are negative. So the environmental Kuznets hypothesis was true in Iran, and Iran is on the upward environmental Kuznets curve (EKC). Between energy consumption and pollution there is also a positive relationship. Though there was no clear relationship between the financial development and economic openness variables with the environmental pollution.

Keywords: Environmental Pollution, Energy Consumption, Economic Openness Index, the Financial Sector.
Keywords
Environmental Pollution
Energy Consumption
Economic Openness Index
the Financial Sector

Subjects

 
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Geography and Human Relationships
Volume 7, Issue 3 - Serial Number 27
Winter 2025
Pages 172-188

  • Receive Date 12 January 2024
  • Revise Date 17 January 2025
  • Accept Date 29 March 2023