Macroeconomic factors affecting carbon dioxide emissions in Bangladesh: an ARDL approach

Abstract

: This study investigates how macroeconomic variables in Bangladesh from 1991 to 2021 affec - ted emissions, using data from the World Development Indicators. This study used the autoregressive distributed lag (ARDL) model. The study finds that Bangladesh’s GDP per person, energy use, and trade openness positively and significantly affect both short-term and long-term carbon dioxide emissions. However, statistics show that foreign direct investment does not affect from Banglade - sh’s. This study says that policymakers should focus on making energy policies and other economic policies that help the economy grow and have little to no effect on emissions. Additionally, eco - nomic growth will not hurt the environment as much if policies are implemented to encourage the growth of both the public and private sectors and make it easier to make money by allocating and distributing resources well. Finally, this study suggests looking for additional variables to improve the model’s fit and using other estimating techniques to obtain more trustworthy findings.