The Effects of Fossil Energy Trade on CO2 Emissions
Authors
1
Associate Professor, Faculty of Social Sciences, Mohaghegh Ardabili University, Ardabil, Iran.
2
M. A. in Economics, University of Mohaghegh Ardebili
3
Young Researchers and Elite Club, Ardabil Branch, Islamic Azad University, Ardabil, Iran
10.22034/eiat.2025.217696
Abstract
Fossil fuel trade is one of the important sources of income and also one of the important factors of economic growth and development. On the other hand, due to the lack of sufficient technology in the production process, developing countries do not have the ability to properly refine these fuels, therefore, by exporting fossil fuels to developed and industrialized countries, they cause the transfer of pollution, especially through transportation and production channels. And transmission and channel are produced. Using the panel multivariate linear model, this research examines the effects of fossil fuel trade on CO2 emissions, focusing on pollution transfer among the target countries for the time period of 2005-2023. The results show that fossil energy trade channels (transportation and production) have a significant impact on CO2 emissions. Also, the extent of these effects on CO2 emissions by the transportation and manufacturing sectors in developed countries is higher compared to developing countries, which indicates the transfer of pollution from developing countries to developed countries. Other results showed that population growth and GDP have a positive and significant relationship with the export of fossil fuels and pollution transmission between target countries. In addition, trade freedom increases the volume of trade in fossil fuels and, consequently, increases CO2 emissions. Therefore, in order to prevent CO2 emissions, both groups of developed and developing countries should adopt new commercial policies, such as environmental tax policies, use of renewable fuels, technology development among developing countries, and population control policies.
Keywords
Subjects
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