Analysis the Impact of Technology Innovation, Foreign Direct Investment, Trade Openness and Globalization on CO2 Emissions? Evidence from Developing Nations

Abstract

The present study explores the effects of Technology Innovation, Foreign Direct Investment, Trade openness and globalization on   environmental degradation (CO2 emissions) from 1999-2023 in developing (Afghanistan, Nepal, Pakistan Bangladesh, Bhutan, and India) Countries. The study employs the Autoregressive distributed lag (ARDL) method is applied to reveal the existence of long run and short run relationship between CO2 emissions and its other determinants. A Granger causality test was also used in this investigation to ascertain the direction of causation between the variables. The results found that in Technology innovation and globalization are significantly increase the environmental degradation. The results of the analysis show that Trade openness and Foreign direct investment have a significant but negative effect on environment degradation. It is recommended that the developing nations give preference to sustainable trading procedures by including environmental factors into trade agreements and laws. This can involve promoting environmentally friendly labeling, assisting sustainable supply chains, and reducing trade obstacles for commodities that are good for the environment. Consistent with these empirical findings, this article suggests some vital policy implications in Developing countries to accomplish their sustainable development goals (SDGs).