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Environmental science and pollution research international
May, 2024;31 (23): 34647-34660.

Unveiling asymmetry impacts of economic policy uncertainty on climate change: fresh insights into African Countries.

Riadh Brini, Hassen Toumi, Olfa Chaouech, Saïd Toumi, Abdullah Abdulmohsen Alfalih
Author Information
  1. Riadh Brini: Department of Business Administration, College of Business Administration, Majmaah University, Al Majma'ah, 11952, Saudi Arabia. riadh.brini@mu.edu.sa.
  2. Hassen Toumi: Department of Management, College of Business Administration in Yanbu, Taibah University, Al-Madinah Al-Munawarah, Saudi Arabia.
  3. Olfa Chaouech: Faculty of Economic Sciences and Management of Tunis, University of Tunis-Manar, Tunis, Tunisia.
  4. Saïd Toumi: Department of Business Administration, College of Business Administration, Majmaah University, Al Majma'ah, 11952, Saudi Arabia.
  5. Abdullah Abdulmohsen Alfalih: Department of Business Administration, College of Business Administration, Majmaah University, Al Majma'ah, 11952, Saudi Arabia.
PMID: 38710846 DOI: 10.1007/s11356-024-33516-2

Abstract

This study investigates the influence of economic policy uncertainty on climate change in selected African countries within asymmetric settings. Although previous research has examined the impact of various economic factors on climate change, the asymmetric effects of economic policy uncertainty have not been thoroughly explored, particularly in African countries. We analyze annual data spanning from 1980 to 2017 by utilizing three models: Panel Pooled Mean Group-Autoregressive distributed lag model (ARDL-PMG), Panel Pooled Mean Group-non-linear autoregressive distributed lag model (NARDL-PMG), and Dumitrescu-Hurlin asymmetric causality tests. According to the results of ARDL-PMG estimation, economic policy uncertainty has a detrimental impact on climate change in the long run. However, the NARDL-PMG estimation suggests that a positive shock in economic policy uncertainty negatively affects long-term climate change mitigation. However, a negative shock has a beneficial effect on climate change in the long term. In African nations, positive and negative changes in economic policy uncertainty failed to generate any significant climate change effects in the short run. The results also reveal that both positive and negative shocks in economic policy may cause climate change in a one-way direction. Based on the findings of our study, we recommend that African policymakers implement programs aimed at reducing economic policy uncertainties to help mitigate the effects of climate change.

Keywords

African countries Climate change Economic policy uncertainty Panel NARDL-PMG

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Grants

  1. ..../2023/Majmaah University

MeSH Term

Climate Change
Uncertainty
Africa
Journal Article

Word Cloud

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