Analyzing the relationship between energy use for economic development and CO2 emissions, crop, and livestock production in Pakistan by using the extended STIRPAT model

Abstract

Contemporary human-made activities are responsible for the emission of more than 30 billion tons of carbon dioxide (CO2), a greenhouse gas, into the atmosphere. The current study's primary purpose is to examine the key elements that contribute to the elevated levels of the release of CO2 into the environment in Pakistan. The research used Pakistan's annual data spanning from 1970 to 2020, along with the STIRPAT (Stochastic Impact by Regression on Population, Affluence, and Technology) model. The relationship between the emission of CO2 into the atmosphere and other chosen factors is examined using the ARDL (Auto Regressive Distributive Lag) model and the ECM (Error Correction Model). These models help to establish the credibility of the acquired findings. The paired Granger causality analysis revealed the presence of unidirectional and bidirectional cause-and-effect relationships between the named variable parameters in the activity under investigation. Pakistan must prioritize tackling the fundamental challenges afflicting its farming industry, particularly those pertaining to the efficiency of its livestock and crop production. The novelty of this study comes in its investigation of the interaction between hitherto undiscovered macro-level properties and the emission of CO2 into the environment of Pakistan. The findings may assist policymakers in formulating an environmental and agricultural strategy aimed at promoting the use of sophisticated low-carbon technology.