The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies
Structural change, which has led to significant progress in social and human development, as evidenced by the progress of the Emerging and Growth Leading Economies (EAGLEs), also has a direct impact on environmental quality. This transformation is largely influenced by the quality of institutions, w...
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| Format: | Article |
| Language: | English |
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Elsevier
2025-09-01
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| Series: | Environmental and Sustainability Indicators |
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| Online Access: | http://www.sciencedirect.com/science/article/pii/S2665972725002387 |
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| author | Daghbagi Hamrouni Radhouane Hasni Imen Ouerghi |
| author_facet | Daghbagi Hamrouni Radhouane Hasni Imen Ouerghi |
| author_sort | Daghbagi Hamrouni |
| collection | DOAJ |
| description | Structural change, which has led to significant progress in social and human development, as evidenced by the progress of the Emerging and Growth Leading Economies (EAGLEs), also has a direct impact on environmental quality. This transformation is largely influenced by the quality of institutions, which may therefore moderate the relationship between structural change and environmental quality. This study examines the impact of structural change and institutional quality on CO2 emissions in these economies from 2000 to 2021, including the effect of their interaction. Using the ARDL-PMG model, control variables such as GDP, energy consumption and urbanization are included to account for the specific characteristics of these economies. The results show that GDP, energy consumption and urbanization contribute to higher emissions, while structural change and institutional quality directly reduce CO2 emissions. Moreover, their interaction creates a combined effect that amplifies this reduction, highlighting the synergy between structural transformation and the institutional framework, while emphasizing the need for coordinated action to better target environmental policies. Policy recommendations are derived from these empirical findings. |
| format | Article |
| id | doaj-art-53d5d7edcafc4bd9b850f6a4df6ad1ec |
| institution | Kabale University |
| issn | 2665-9727 |
| language | English |
| publishDate | 2025-09-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Environmental and Sustainability Indicators |
| spelling | doaj-art-53d5d7edcafc4bd9b850f6a4df6ad1ec2025-08-20T03:41:54ZengElsevierEnvironmental and Sustainability Indicators2665-97272025-09-012710081710.1016/j.indic.2025.100817The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economiesDaghbagi Hamrouni0Radhouane Hasni1Imen Ouerghi2Imam Mohammad Ibn Saud Islamic University (IMSIU), Saudi Arabia; Corresponding author.University of Manouba, Higher School of Commerce, QuAnLab LR24ES21, Manouba, TunisiaUniversity of Manouba, Higher School of Commerce, QuAnLab LR24ES21, Manouba, TunisiaStructural change, which has led to significant progress in social and human development, as evidenced by the progress of the Emerging and Growth Leading Economies (EAGLEs), also has a direct impact on environmental quality. This transformation is largely influenced by the quality of institutions, which may therefore moderate the relationship between structural change and environmental quality. This study examines the impact of structural change and institutional quality on CO2 emissions in these economies from 2000 to 2021, including the effect of their interaction. Using the ARDL-PMG model, control variables such as GDP, energy consumption and urbanization are included to account for the specific characteristics of these economies. The results show that GDP, energy consumption and urbanization contribute to higher emissions, while structural change and institutional quality directly reduce CO2 emissions. Moreover, their interaction creates a combined effect that amplifies this reduction, highlighting the synergy between structural transformation and the institutional framework, while emphasizing the need for coordinated action to better target environmental policies. Policy recommendations are derived from these empirical findings.http://www.sciencedirect.com/science/article/pii/S2665972725002387CO2 emissionsStructural changeInstitutional qualityModerating effectEmerging economies |
| spellingShingle | Daghbagi Hamrouni Radhouane Hasni Imen Ouerghi The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies Environmental and Sustainability Indicators CO2 emissions Structural change Institutional quality Moderating effect Emerging economies |
| title | The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies |
| title_full | The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies |
| title_fullStr | The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies |
| title_full_unstemmed | The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies |
| title_short | The moderating effect of institutional quality on the relationship between structural change and CO2 emissions in emerging economies |
| title_sort | moderating effect of institutional quality on the relationship between structural change and co2 emissions in emerging economies |
| topic | CO2 emissions Structural change Institutional quality Moderating effect Emerging economies |
| url | http://www.sciencedirect.com/science/article/pii/S2665972725002387 |
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