Revisiting the role of forestry, agriculture, and renewable energy in testing environment Kuznets curve in Pakistan: evidence from Quantile ARDL approach

Aziz, Noshaba; Sharif, Arshian; Raza, Ali; Rong, Kong

doi:10.1007/s11356-020-07798-1

Short Research and Discussion Article
Published: 27 January 2020

Revisiting the role of forestry, agriculture, and renewable energy in testing environment Kuznets curve in Pakistan: evidence from Quantile ARDL approach

Noshaba Aziz¹,
Arshian Sharif^2,3,
Ali Raza⁴ &
Kong Rong¹

Environmental Science and Pollution Research volume 27, pages 10115–10128 (2020)Cite this article

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Abstract

This paper assesses the Environmental Kuznets curve based on quantile behavior of the relationship between economic growth, forest area, agriculture production, renewable energy, and environmental degradation. The current literature generally used a single indicator to address environmental issues; however single indicator neither measures overall environmental conditions nor does specify that the environment issue is generally diminishing. Our study is the first one that used ecological footprint (EF) as an indicator to test environmental Kuznets curve (EKC) hypothesis for Pakistan by employing recent approach of quantile autoregressive distributed lag (QARDL) initiated by Cho et al. (J Econ 188(1):281–300, 2015). The result of this study validates the EKC hypothesis for Pakistan and shows quantile-dependent relationship, and in that case, using the conventional methods may somewhat lead to biased results. Moreover, the rejection of the null hypothesis of parameter constancy is also confirmed by Wald test. In the long run, the findings of renewable energy consumption and forest area show significant negative effects on ecological footprints, which indicates that by increasing renewable energy usage and forest area, ecological footprints can be minimized. Interestingly, the short-term effects of agricultural production findings on EF show statistically negative results. This illustrates that EF can also be reduced in the agriculture sector by adopting environment-friendly technologies. In order to create efficient policies for environment deterioration, the empirical findings of the current analysis can be used as a guideline for policy implications.

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Funding

The study was supported by the National Science Foundation of China (No. 71773094).

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Affiliations

College of Economics and Management, Northwest A & F University, Yangling, 712100, Shaanxi, China
Noshaba Aziz & Kong Rong
Othman Yeop Abdullah Graduate School of Business, Universiti Utara Malaysia, Sintok, Malaysia
Arshian Sharif
Eman Institute of Management and Sciences, Karachi, Pakistan
Arshian Sharif
School of Economics, Shandong University, Jinan, China
Ali Raza

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Noshaba Aziz
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Arshian Sharif
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Ali Raza
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Kong Rong
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Correspondence to Kong Rong.

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Aziz, N., Sharif, A., Raza, A. et al. Revisiting the role of forestry, agriculture, and renewable energy in testing environment Kuznets curve in Pakistan: evidence from Quantile ARDL approach. Environ Sci Pollut Res 27, 10115–10128 (2020). https://doi.org/10.1007/s11356-020-07798-1

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Received: 19 November 2019
Accepted: 21 January 2020
Published: 27 January 2020
Issue Date: March 2020
DOI: https://doi.org/10.1007/s11356-020-07798-1

Keywords

Environmental Kuznets curve
Ecological footprint
Forestry
Agriculture
Renewable energy