Analysing the Impacts of Shadow Economy, Financial Inclusion and Economic Policy Uncertainty on CO2 Emissions
Analysing the Impacts of Shadow Economy, Financial Inclusion and Economic Policy Uncertainty on CO2 Emissions
Author(s): Muhammad Khalid Anser, Sina Jimoh Ogede, Wang Huizhen, Timothy Ayomitunde Aderemi, Sajid Ali, Romanus OsabohienSubject(s): National Economy, Business Economy / Management, Environmental and Energy policy, Financial Markets, Public Finances, Socio-Economic Research
Published by: Vysoká škola ekonomická v Praze
Keywords: Carbon emissions; shadow economy; economic policy uncertainty; financial inclusion; energy; sustainable development; MM-QR; Sub-Saharan Africa;
Summary/Abstract: This study examines the diverse effects of financial inclusion, shadow economies, and economic policy on carbon emissions in 21 Sub-Saharan African countries from 2002 to 2019. Using the panel spatial correlation consistent (PSCC), method of moments quantile regression (MM-QR), and Dumitrescu–Hurlin (D–H) methodologies, the findings show that financial inclusion increases carbon emissions, while the shadow economy and economic policy uncertainty have adverse impacts. MM-QR results, with fixed effects, show consistent results across quantiles. A two-way causal relationship exists between several factors including the shadow economy and CO2 emissions, financial inclusion and the shadow economy, and others. Policy suggestions to counteract the impact of financial inclusion and amplify the negative effects of the shadow economy and economic policy uncertainty on carbon emissions are offered.
Journal: Politická ekonomie
- Issue Year: 72/2024
- Issue No: 6
- Page Range: 867-895
- Page Count: 29
- Language: English
