Re-examining the Environmental Kuznets Curve Hypothesis in Nigeria: Recent Evidence from ARDL Model

Abstract

This study re-examines the Environmental Kuznets Curve (EKC) hypothesis in Nigeria over the 1980-2021 period. Applying the Autoregressive Distributed Lag (ARDL) model, the estimated result shows the long-run co-movement of the variables included in the model. However, the model fails to support the EKC inverted U-shaped hypothesis during the study period. The long-run estimates found that increase in Gross Domestic Income, Trade integration and GDP growth will significantly lead to reduction in CO₂ emissions. Meanwhile, increase in urbanization growth and population growth will significantly result to increase in CO₂ emissions in the long-run. The result of population growth on CO₂ emissions is quite alarming, thus, the study recommends for government intervention in collaboration with private sector to ensure smooth transition to a cleaner technology with a view to curb the environmental pollutants thereby achieving the sustainable development goal.