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Testing the Environmental Kuznets Curve in Egypt: Role of Foreign Investment and Trade

Haider Mahmood (), Maham Furqan, Tarek Tawfik Yousef Alkhateeb and Mahmoud Mohamad Fawaz
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Maham Furqan: Energy Associate, S&P Global Market Intelligence, Islamabad, Pakistan,
Tarek Tawfik Yousef Alkhateeb: Department of Marketing, College of Business Administration, Prince Sattam Bin Abdulaziz University, Alkharj, Saudi Arabia & Kafr Elsheikh University, Egypt,
Mahmoud Mohamad Fawaz: Kafr Elsheikh University, Egypt

International Journal of Energy Economics and Policy, 2019, vol. 9, issue 2, 225-228

Abstract: We test the Environmental Kuznets Curve (EKC) augmenting CO2 emissions model for Egypt using cointegration technique for period 1990–2014. Cointegration is found in the hypothesized model and EKC hypothesis validates from empirical testing as well. Further, energy consumption seems to be accelerating CO2 emissions per capita while Foreign Direct Investment is found helpful in reducing CO2 emissions per capita. However, the effect of trade is found insignificant. We recommend Egyptian government to attract further foreign investment to support a cleaner environment.

Keywords: Environmental Kuznets Curve Hypothesis; Foreign Direct Investment; Trade Openness; Egypt (search for similar items in EconPapers)
JEL-codes: F18 O13 F21 (search for similar items in EconPapers)
Date: 2019
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