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Quantile estimation of ecological footprint and economic complexity in emerging economies: The moderating role of increasing energy consumption

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Abstract

There are increasing debates on the relationship between economic complexity and environmental degradation. This study deepens our understanding of this nexus in 11 emerging economies given the moderating role of energy consumption while controlling for economic development, trade openness and population growth. The findings from the quantile regression technique reveal that emerging economies are characteristic of low energy consumption, leading to insignificant contributions of economic complexity to environmental degradation across the spectrum as they also have very low-trade openness. Further results show the invalidity of the EKC between energy use (such as fossil fuels) and environmental degradation in emerging economies. Moreover, the Environmental Kuznets Curve (EKC) between economic development and environmental degradation is valid especially for those countries in the low and median quantiles (Egypt, Indonesia, and Vietnam). Also, the EKC hypothesis between population and environmental degradation is valid only for countries in the high and highest quantiles (Korea Republic, Turkey, Mexico and Iran). Finally, the results revealed that trade openness strictly reduces environmental degradation across the spectrum. Policy implications, limitations of the study and direction for future research are discussed.

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The datasets used and/or analyzed during the current study are available from the corresponding author on reasonable request.

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Acknowledgements

The authors appreciate the editor and the anonymous reviewers for their valuable comments that substantially improved this manuscript.

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Authors and Affiliations

  1. Department of Economics, University of Lagos, Akoka, Nigeria

    Solomon Prince Nathaniel

  2. Department of Economics, School of Foundation, Lagos State University, Badagry, Nigeria

    Solomon Prince Nathaniel

  3. Department of Economics, University of Nigeria, Nsukka, Nigeria

    Davidmac Olisa Ekeocha

  4. Department of Economics, University of Liverpool Management School, Liverpool, UK

    Davidmac Olisa Ekeocha

  5. Department of Electrical and Electronic Engineering Science, University of Johannesburg, Johannesburg, South Africa

    Nnamdi Nwulu

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  1. Solomon Prince Nathaniel
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  2. Davidmac Olisa Ekeocha
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SPN conceived the idea, wrote the introduction, literature review and provided the relevant policy directions. DOE wrote the methodology and performed data analysis. NN discussed the results and supervised the study.

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Correspondence to Solomon Prince Nathaniel.

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Nathaniel, S.P., Ekeocha, D.O. & Nwulu, N. Quantile estimation of ecological footprint and economic complexity in emerging economies: The moderating role of increasing energy consumption. Environ Sci Pollut Res 29, 33856–33871 (2022). https://doi.org/10.1007/s11356-021-18397-z

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