Do Corruptive Practices of a Country Inflate Unbalanced Carbon Dioxide Emissions? A Panel Data Analysis from Select Countries

Abstract

Global warming causing changes in climate has turned out to be a crucial menace to all countries owing to quick emissions of carbon dioxide (CO2) and other green house gases (GHG). So, this endeavor tries to evaluate the effect of corruption along with high level of energy consumption on carbon dioxide emissions as well as finds out the causal relationship among them using panel data of 10 emerging economies of Asia over the period 1980–2019using Estimated Generalized Least Square (EGLS) approach. The result suggests that countries with embracing of more corruptive practices along with high energy consumption are found to have causing more environmental degradation through excessive emission of carbon dioxide in the long run. The study also indicates the presence of unidirectional causalities directing from carbon dioxide emission to energy consumption. We found no short run causal connection between corruption and CO2 emission in the study.