How does geopolitical risk affect CO2 emissions? The role of natural resource rents

Limei Chen, Giray Gözgör, Mantu Kumar Mahalik, Shreya Pal and Kashif Nesar Rather

Resources Policy, 2023, vol. 87, issue PB

Abstract: In a panel dataset of 38 developing and industrialized countries from 1970 to 2021, this study investigates how geopolitical risk and resource rents affect CO2 emissions. After implementing diagnostics, the paper observes significant relationships among CO2 emissions, geopolitical risk, natural resource rents, per capita income, and share of renewable energy in the long run. The panel data estimations show that geopolitical risk, natural resource rents, and per capita income increase CO2 emissions. However, the share of renewable energy is negatively associated with it. The mediation effect of geopolitical risk and natural resource rents on CO2 emissions is also positive. Potential policy repercussions are also discussed.

Keywords: CO2 emissions; Geopolitical risk; Natural resource rents; Renewable energy; Panel data estimation techniques (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (8)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jrpoli:v:87:y:2023:i:pb:s0301420723010322

DOI: 10.1016/j.resourpol.2023.104321

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