Does Geopolitical Risk Rise Carbon Emissions? Evidence From a Cs-ardl Model for Oecd Countries
Year: 2025
Type: article
Abstract: Geopolitical risk is a significant concern, as it poses an increasing threat to carbon emissions and ecological systems. This paper investigates the link between geopolitical risk and carbon emissions. It employs a cutting-edge econometric methodology and a thorough preliminary and robustness analysis with a sample of 25 Organization for Economic Cooperation and Development (OECD) countries. Empirical findings demonstrate that geopolitical risk escalation triggers a rise in carbon emissions. Population and gross domestic product per capita leads to an environmental degradation, while trade openness and financial development curb the carbon emissions. The establishment of inter-country dialogues, or various platforms by supranational institutions to fortify the communication between countries, will mitigate geopolitical risks and contribute to environmental sustainability.
Author: Zeynep Gizem Can
Institution: Adana Science and Technology University
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4414638361
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