Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU

The European Union (EU), as a signatory to the Paris Climate Agreement, aims to take on a global leadership role in sustainable environmental initiatives. This study explores the contribution of economic and financial developments to environmental sustainability in EU member states with successful e...

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Main Authors: Serap Vurur, Munevvere Yildiz, Letife Ozdemir
Format: Article
Language:English
Published: Czech Statistical Office 2025-06-01
Series:Statistika: Statistics and Economy Journal
Subjects:
Online Access:https://csu.gov.cz/docs/107508/697c55e1-f8a6-9358-ba79-066151d7d751/32019725q2_serap_vurur.pdf?version=1.0
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author Serap Vurur
Munevvere Yildiz
Letife Ozdemir
author_facet Serap Vurur
Munevvere Yildiz
Letife Ozdemir
author_sort Serap Vurur
collection DOAJ
description The European Union (EU), as a signatory to the Paris Climate Agreement, aims to take on a global leadership role in sustainable environmental initiatives. This study explores the contribution of economic and financial developments to environmental sustainability in EU member states with successful environmental policies. The impacts of economic growth, financial development, and foreign direct investments on the ecological footprint are examined for 16 EU member states. Data from 1990–2021 is analysed using panel quantile regression and the Dumitrescu-Hurlin causality test. According to the results, the overall impact of economic growth and financial development on the Ecological Footprint is positive. Additionally, foreign direct investments contribute to an increase in ecological footprint. According to the causality test results, economic growth and ecological footprint mutually influence each other. There is a unidirectional causality from financial development and foreign direct investments to ecological footprint. Implementing financial policies directed towards eco-friendly technologies in EU member states will positively impact environmental sustainability.
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publishDate 2025-06-01
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spelling doaj-art-76cd14731d3f465fb7b61adbd0f9a9932025-08-20T02:07:38ZengCzech Statistical OfficeStatistika: Statistics and Economy Journal0322-788X1804-87652025-06-01105217819610.54694/stat.2024.52Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EUSerap Vurur0https://orcid.org/0000-0003-4339-6474Munevvere Yildiz1https://orcid.org/0000-0001-9541-2603Letife Ozdemir2https://orcid.org/0000-0002-8636-2277Afyon Kocatepe University, Afyonkarahisar, TürkiyeAfyon Kocatepe University, Afyonkarahisar, TürkiyeAfyon Kocatepe University, Afyonkarahisar, TürkiyeThe European Union (EU), as a signatory to the Paris Climate Agreement, aims to take on a global leadership role in sustainable environmental initiatives. This study explores the contribution of economic and financial developments to environmental sustainability in EU member states with successful environmental policies. The impacts of economic growth, financial development, and foreign direct investments on the ecological footprint are examined for 16 EU member states. Data from 1990–2021 is analysed using panel quantile regression and the Dumitrescu-Hurlin causality test. According to the results, the overall impact of economic growth and financial development on the Ecological Footprint is positive. Additionally, foreign direct investments contribute to an increase in ecological footprint. According to the causality test results, economic growth and ecological footprint mutually influence each other. There is a unidirectional causality from financial development and foreign direct investments to ecological footprint. Implementing financial policies directed towards eco-friendly technologies in EU member states will positively impact environmental sustainability.https://csu.gov.cz/docs/107508/697c55e1-f8a6-9358-ba79-066151d7d751/32019725q2_serap_vurur.pdf?version=1.0ecological footprintsustainable environmenteconomic growthfinancial developmentforeign direct investmentseu member states
spellingShingle Serap Vurur
Munevvere Yildiz
Letife Ozdemir
Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
Statistika: Statistics and Economy Journal
ecological footprint
sustainable environment
economic growth
financial development
foreign direct investments
eu member states
title Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
title_full Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
title_fullStr Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
title_full_unstemmed Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
title_short Financial and Economic Drivers of Ecological Footprint: a Panel Quantile Regression Analysis of the EU
title_sort financial and economic drivers of ecological footprint a panel quantile regression analysis of the eu
topic ecological footprint
sustainable environment
economic growth
financial development
foreign direct investments
eu member states
url https://csu.gov.cz/docs/107508/697c55e1-f8a6-9358-ba79-066151d7d751/32019725q2_serap_vurur.pdf?version=1.0
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AT munevvereyildiz financialandeconomicdriversofecologicalfootprintapanelquantileregressionanalysisoftheeu
AT letifeozdemir financialandeconomicdriversofecologicalfootprintapanelquantileregressionanalysisoftheeu