Abstract

In this study, the Environmental Kuznets Curve (EKC) is hypothesized to examine the connection among SO2 emission, economic growth, trade liberalization, energy consumption and population density in Pakistan with annual data from 1970-2008. The co integration analysis using Auto Regressive Distributed Lag (ARDL) bounds testing approach is used. The outcomes support the hypothesis both in short-run and long-run and inverted U shaped relationship is found between SO2 emission and growth. Interestingly we found trade support the environment positively and population contributes to environmental degradation in Pakistan. The energy consumption and growth are the major explanatory variables which contribute to environmental pollution in Pakistan. Moreover, the time series data analysis is utilized and the stability of variables in estimated model is also evaluated.

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