An unexplored Nexus of Political freedom, Economic Growth, Economic conditions and CO2 emission in Asian Country

Abstract

The forefront of global leadership agendas emphasizes the promotion of sustainable environmental development. Humanity grapples with a significant challenge posed by a worldwide environmental issue. Political institutions in every nation bear the responsibility of crafting and executing policy agendas. This study aims to scrutinize the intricate interplay between the existing state of political institutions, environmental emissions, and development indicators. Notably, it delves into the nuanced impact of diverse economic conditions, encompassing a free economy, a fluctuating economy, a degraded economy, and an improved economy. Over the course of twenty-four years, from 1998 to 2021, information for this study was collected from ten different ASEAN nations. The panel data methodology is utilized in order to answer the research question. Estimates that account for fixed effects indicate that there is a significant positive correlation between economic growth and CO2 emissions. It is also evident that CO2 emission levels are higher in Asean economies that are more volatile, such as Indonesia and Thailand, while they are lower in economies that have improved, such as Singapore. This study represents one of the pioneering investigations on the subject at hand. The insights derived from this research are poised to serve as a valuable guide for the implementation of environmental policies.