Environmental Kuznets Curve for CO2 Emission in Cambodia: A Time Series Analysis

Abstract

This study investigates the dynamic impacts of GDP, square value of GDP, population growth and education on CO2 emission using econometric approaches for Cambodia. Empirical results from Johansen cointegration testing approach shows that over the period of 1986 to 2022, the results seem not to support the environmental Kuznets curve (EKC) both in long run and short run. The results also demonstrate that both population growth and square value of income has long and short-term positive impacts with per capita carbon emission, but education and income have the negative impact on CO2 emission. Consequently, the findings from the granger causality tests suggest that in the short run education plays an essential role in reducing carbon emission whereas population growth does not contribute to the reduction in emission in Cambodia. In the light of empirical result, this paper provides policy implication in order to keep both income growth and environment intact. Hence, a significant focus on investment in education could contribute to reduce the emission and sustain the long run economic growth in Cambodia.