Skip to main content

Advertisement

SpringerLink
Log in

Development, effective governance and environmental sustainability risk: emerging markets perspective

  • Research Article
  • Published:
Environmental Science and Pollution Research Aims and scope Submit manuscript

Abstract

The study examines the extent to which development and other key factors influence environmental sustainability risk among developing economies in sub-Saharan Africa (SSA). Empirical analyses were carried out using panel corrected standard error (PCSE), an estimation technique by Beck and Katz, Am Polit Sci Rev, 634–647, (1995). The results suggest that development, defined by a more holistic index, has significant positive impact on CO2 emissions, but negative impact on ecological footprint among economies in the sub-region. The results further show that effective governance, corruption control and regulatory quality tend to minimize adverse impact of development on CO2 emissions, all other things being equal. Additionally, the study finds that political instability exacerbates the adverse effect of development on CO2 emissions.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

Data availability

The present submission does not include the underlying data for the manuscript as an attachment because empirical inquiry pursued in this study utilizes publicly available data sets, and these various sources of data have all been noted accordingly in “Data and Methodology” of the manuscript.

Notes

  1. Benin, Botswana, Burkina Faso, Cameroon, Cape Verde, Chad, the Congo Republic, Cote D’Ivoire, Equatorial Guinea, Ethiopia, Gabon, Gambia, Ghana, Guinea, Guinea-Bissau, Kenya, Malawi, Mali, Mauritania, Mauritius, Mozambique, Niger, Nigeria, Rwanda, Sierra Leone, South Africa, Tanzania, Togo, Uganda, Zambia.

References

  • Abaidoo R, Agyapong EK (2022) Commodity prices, inflation and inflation uncertainty among emerging economies. J Econ Admin Sci. https://doi.org/10.1108/JEAS-10-2021-0203

  • Abdi H, Williams LJ (2010) Principal component analysis. Wiley Interdiscip Rev: Comput Stat 2(4):433–459

    Article  Google Scholar 

  • Ahamed MM, Mallick SK (2019) Is financial inclusion good for bank stability? International evidence. J Econ Behav Organ 157:403–427

    Article  Google Scholar 

  • Alaali F, Naser H (2020) Economic development and environmental sustainability: evidence from Bahrain. Energy Ecol Environ 5(3):211–219

    Article  Google Scholar 

  • Al-Amin MA (2013) An assessment of Nigeria's preparedness to environmental disasters from its commitment to international environmental treaties. Eur Sci J 9(32). https://doi.org/10.19044/esj.2013.v9n32p%p

  • Aleixo AM, Leal S, Azeiteiro UM (2018) Conceptualization of sustainable higher education institutions, roles, barriers, and challenges for sustainability: an exploratory study in Portugal. J Clean Prod 172:1664–1673

    Article  Google Scholar 

  • Amankwah-Amoah J (2020) Stepping up and stepping out of COVID-19: new challenges for environmental sustainability policies in the global airline industry. J Clean Prod 271:123000

    Article  Google Scholar 

  • Baek J (2016) Do nuclear and renewable energy improve the environment? Empirical evidence from the United States. Ecol Ind 66:352–356

    Article  Google Scholar 

  • Bailey D, Katz JN (2011) Implementing panel corrected standard errors in R: the PCSE Package. J Stat Softw 42(CS1):1–11

    Google Scholar 

  • Beck N, Katz JN (1995) What to do (and not to do) with time-series cross-section data. Am Polit Sci Rev 89(3):634–647

  • Bro R, Smilde AK (2014) Principal component analysis. Anal Methods 6(9):2812–2831

    Article  CAS  Google Scholar 

  • Costantini V, Martini C (2010) A modified environmental Kuznets curve for sustainable development assessment using panel data. Int J Glob Environ Issues 10(1–2):84–122

    Article  Google Scholar 

  • Costantini V, Monni S (2008) Environment, human development and economic growth. Ecol Econ 64(4):867–880

    Article  Google Scholar 

  • Cumming GS, von Cramon-Taubadel S (2018) Linking economic growth pathways and environmental sustainability by understanding development as alternate social–ecological regimes. Proc Natl Acad Sci 115(38):9533–9538

    Article  CAS  Google Scholar 

  • Dragulanescu IV, Dragulanescu N (2013) Some theories of environmental sustainability. Romanian Stat Rev 12:14–22

    Google Scholar 

  • Elith J, Graham CH, Anderson RP, Dudík M, Ferrier S, Guisan A, ... Li J (2006) Novel methods improve prediction of species’ distributions from occurrence data. Ecography 29(2):129–151

  • Farhani S, Mrizak S, Chaibi A, Rault C (2014) The environmental Kuznets curve and sustainability: a panel data analysis. Energy Policy 71:189–198

    Article  Google Scholar 

  • Greene WH (2000) Econometric analysis, 4 International. Prentice Hall, New Jersey

    Google Scholar 

  • Grossman GM, Krueger AB (1995) Economic growth and the environment. Q J Econ 110(2):353–377

    Article  Google Scholar 

  • Haibo C, Ayamba EC, Agyemang AO, Afriyie SO, Anaba AO (2019) Economic development and environmental sustainability—the case of foreign direct investment effect on environmental pollution in China. Environ Sci Pollut Res 26(7):7228–7242

    Article  CAS  Google Scholar 

  • Jorgenson AK, Alekseyko A, Giedraitis V (2014) Energy consumption, human well-being and economic development in central and eastern European nations: a cautionary tale of sustainability. Energy Policy 66:419–427

    Article  Google Scholar 

  • Karamizadeh S, Abdullah SM, Manaf AA, Zamani M, Hooman A (2013) An overview of principal component analysis. J Signal Inform Process 4(3B):173

    Article  Google Scholar 

  • Kirikkaleli D (2020) Does political risk matter for economic and financial risks in Venezuela? J Econ Struct 9(1):1–10

    Article  Google Scholar 

  • Kumar S, Raizada A, Biswas H, Srinivas S, Mondal B (2016) Application of indicators for identifying climate change vulnerable areas in semi-arid regions of India. Ecol Ind 70:507–517

    Article  Google Scholar 

  • Liao D, Valliant R (2012) Variance inflation factors in the analysis of complex survey data. Surv Methodol 38(1):53–62

    Google Scholar 

  • Mukherjee S, Chakraborty D (2013) Is environmental sustainability influenced by socioeconomic and sociopolitical factors? Cross‐country empirical evidence. Sustain Dev 21(6):353–371

  • Ntow-Gyamfi M, Bokpin GA, Aboagye AQ, Ackah CG (2020) Environmental sustainability and financial development in Africa; does institutional quality play any role? Dev Stud Res 7(1):93–118

    Article  Google Scholar 

  • Saint Akadiri S, Bekun FV, Sarkodie SA (2019) Contemporaneous interaction between energy consumption, economic growth and environmental sustainability in South Africa: what drives what? Sci Total Environ 686:468–475

    Article  Google Scholar 

  • Sarkodie SA, Strezov V (2018) Empirical study of the environmental Kuznets curve and environmental sustainability curve hypothesis for Australia, China, Ghana and USA. J Clean Prod 201:98–110

    Article  Google Scholar 

  • Sendhil R, Jha A, Kumar A, Singh S (2018) Extent of vulnerability in wheat producing agro-ecologies of India: tracking from indicators of cross-section and multi-dimension data. Ecol Ind 89:771–780

    Article  Google Scholar 

  • Shahbaz M, Solarin SA, Hammoudeh S, Shahzad SJH (2017) Bounds testing approach to analyzing the environment Kuznets curve hypothesis with structural beaks: the role of biomass energy consumption in the United States. Energy Econ 68:548–565

    Article  Google Scholar 

  • Shahbaz M, Gozgor G, Adom PK, Hammoudeh S (2019) The technical decomposition of carbon emissions and the concerns about FDI and trade openness effects in the United States. Int Econ 159:56–73

    Article  Google Scholar 

  • Shawe R, Horan W, Moles R, O’Regan B (2019) Mapping of sustainability policies and initiatives in higher education institutes. Environ Sci Policy 99:80–88

    Article  Google Scholar 

  • Sundjo F, Aziseh F (2018) An empirical investigation into the key drivers of economic performance in the CEMAC zone: a panel corrected standard errors approach. Int J Bus Econ Manag 5(6):189–200

    Article  Google Scholar 

  • Tamazian A, Chousa JP, Vadlamannati KC (2009) Does higher economic and financial development lead to environmental degradation: evidence from BRIC countries. Energy Policy 37(1):246–253

    Article  Google Scholar 

  • Tsai WT (2012) An investigation of Taiwan’s education regulations and policies for pursuing environmental sustainability. Int J Educ Dev 32(2):359–365

    Article  Google Scholar 

  • Twerefou DK, Danso-Mensah K, Bokpin GA (2017) The environmental effects of economic growth and globalization in sub-Saharan Africa: a panel general method of moments approach. Res Int Bus Financ 42:939–949

    Article  Google Scholar 

  • Uddin MA, Ali MH, Masih M (2020) Institutions, human capital and economic growth in developing countries. Stud Econ Financ 38(2):361–383

    Article  Google Scholar 

  • Uzelac O, Davidovic M, Mijatovic MD (2020) Legal framework, political environment and economic freedom in central and Eastern Europe: do they matter for economic growth? Post-Communist Econ 32(6):697–725

    Article  Google Scholar 

  • Wooldridge JM (2010) Econometric analysis of cross section and panel data. MIT Press, London

    Google Scholar 

  • Yu S, Jong-A-Pin R (2020) Rich or alive? Political (in) stability, political leader selection and economic growth. J Comp Econ 48(3):561–577

    Article  Google Scholar 

  • Yusuf HA, Shittu WO, Akanbi SB, Umar HM, Abdulrahman IA (2020) The role of foreign direct investment, financial development, democracy and political (in) stability on economic growth in West Africa. Int Trade Polit Dev 4(1):27–46

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. University of Maryland Eastern Shore, EASC Building Room 2094, Princess Anne, MD, 21875, USA

    Rexford Abaidoo

  2. Ghana Institute of Management and Public Administration, GIMPA Green Hill, Achimota, Accra, Ghana

    Elvis Kwame Agyapong

Authors
  1. Rexford Abaidoo
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Elvis Kwame Agyapong
    View author publications

    You can also search for this author in PubMed Google Scholar

Contributions

All the authors contributed to the study conception and design. Core material preparation, data preparation and analysis were performed by both authors of the study (Rexford Abaidoo and Elvis Kwame Agyapong). The first draft of the manuscript was written by Rexford Abaidoo; Subsequently, all the authors worked on and helped in shaping subsequent versions of the manuscript till the final product. Finally, both authors read and approved the final manuscript for submission.

Corresponding author

Correspondence to Rexford Abaidoo.

Ethics declarations

Ethical approval

We wish to state that the two authors in this study have no potential conflicts of interest whatsoever in the formulation and development of this empirical inquiry. Additionally, we also wish to state that the current research did not involve any human or animal participants in its formulation and development. Furthermore, we also want to point out that because the current empirical inquiry did not engage any human participants, informed consent of engaged participants is not required.

Consent to participate

We the authors of the manuscript being submitted wish to state that consent to participate note or form is not required or applicable to our empirical inquiry, in that, no human participants were engaged in the formulation and development of the present manuscript.

Consent for publication

We the authors of the manuscript being submitted wish to state that consent to publish note or form is not required or applicable to our empirical inquiry, in that, no human participants were engaged in the formulation and development of the present manuscript.

Competing interests

The authors declare no competing interests.

Additional information

Responsible Editor: Philippe Garrigues

Publisher's note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

The manuscript has not been submitted to a preprint server prior to this submission.

Rights and permissions

Springer Nature or its licensor (e.g. a society or other partner) holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Abaidoo, R., Agyapong, E.K. Development, effective governance and environmental sustainability risk: emerging markets perspective. Environ Sci Pollut Res 30, 52169–52181 (2023). https://doi.org/10.1007/s11356-023-25458-y

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11356-023-25458-y

Keywords

JEL Classification

Search

Navigation