The causal relationship between climate change and economic growth: MENA countries

Zeynep Åengul () and Ebru Caglayann Akay ()
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Zeynep Åengul: Marmara University / Turkiye
Ebru Caglayann Akay: Marmara University / Turkiye

Journal of Applied Microeconometrics, 2025, vol. 5, issue ongoing, e2851-e2851

Abstract: This study comprehensively examines 21 countries in the Middle East and North Africa (MENA) region and investigates the causal relationship between economic growth and climate change in countries with different economic structures within the same geography for the period 2013â€"2022, using the Dumitrescu and Hurlin (2012) panel causality test. Temperature increase is used as an indicator of climate change. The findings reveal a one-way causality running from economic growth to temperature increase, with no causal relationship from temperature increase to economic growth. Additionally, a one-way causality from economic growth to temperature increase is observed for Iraq, Kuwait, Mauritania, Qatar, Saudi Arabia, and Sudan. As a result, the study highlights the need to establish a balance between Goal 8: Decent Work and Economic Growth and Goal 13: Climate Action, which are among the Sustainable Development Goals.

Keywords: Panel Causality Analysis; MENA Region; Economic Growth; Temperature Increase; Global Warming (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:jle:joujam:jame2851

DOI: 10.53753/jame.2851

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