Effects of Trade Openness and Economic Growth on Carbon Dioxide (Co2) Emissions in Ghana

Thumbnail Image
Journal Title
Journal ISSN
Volume Title
This study investigated the effect of trade openness and economic growth on carbon dioxide (CO2) emissions in Ghana. Other variables considered were energy consumption and urbanization. It employed the use of annual time series data sourced from the World Bank’s World Development Indicators from 1971 to 2009. The ADF test proved all the variables to be stationary after first differencing. The Johansen multivariate test for cointegration indicated a one cointegrating equation among the series. The study found evidence for the Environmental Kuznets Curve (EKC) in the long-run. It found a statistically significant positive relationship between trade openness and CO2 emissions. It however found energy consumption (EC) and urbanization (URBAN) to have negative impact on CO2 emissions in the long-run but positive impact in the short-run. The Granger Causality test revealed a unidirectional causality running from energy consumption to CO2 emissions with no reverse causality observed.
A Thesis submitted to the Department of Economics, Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirements for the degree of Master of Arts,