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Causes of Higher Ecological Footprint in Pakistan: Does Energy Consumption Contribute? Evidence from the Non-Linear ARDL Model

Nabila AsgharDepartment of Economics, Division of Management and Administrative Science, University of Education, Lahore 54770, PakistanMuhammad Asif AmjadDepartment of Economics and Statistics, Dr Hasan Murad School of Management, University of Management and Technology, Lahore 54770, PakistanHafeez ur RehmanDepartment of Economics and Statistics, Dr Hasan Murad School of Management, University of Management and Technology, Lahore 54770, PakistanMubbasher MunirDepartment of Economics and Statistics, Dr Hasan Murad School of Management, University of Management and Technology, Lahore 54770, PakistanReda AlhajjDepartment of Computer Science, University of Calgary, Calgary, AB T2N 1N4, Canada
2023en
ABI

Abstract

The impact of human activities on environmental degradation has been increasing over time, and ecological footprint measures the impact of human activities on the environment. An increase in ecological footprint has created alarming situations around the globe. This study explores the causes of Pakistan’s high ecological footprint (EFP). The asymmetric analysis of fossil fuels and renewable energy consumption on EFP has been carried out from 1990 to 2020. The results obtained from the NARDL approach revealed that the positive shocks of fossil fuel consumption increase EFP, but its negative shocks decline EFP. Meanwhile, both positive and negative shocks of renewable energy consumption decline EFP in Pakistan. This study suggests that renewable energy consumption can play a significant role in reducing the EFP in Pakistan.

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