Evaluating the ecological footprints of Entrepreneurial activities: Insights from a cross-country assessment

Abstract

This study aims to deepen our understanding of green entrepreneurship and its effects on ecological footprints, focusing on fishing grounds and CO₂ emissions—areas often underexplored in environmental research. Utilizing panel data from 2002 to 2018 across 14 countries, this research investigates the environmental impacts of eleven distinct entrepreneurial activities. Methodologically, the study incorporates a variety of control variables, including GDP per capita, trade openness, energy intensity, natural resource rents, and urbanization, to ensure robust analysis. Key findings illustrate the dual aspects of the Kuznets curve: 1) A positive squared GDP per capita coefficient of 0.514 indicates increasing ecological impacts from fishing as economic growth progresses. In contrast, a negative coefficient of −0.140 for CO2 emissions suggests diminishing impacts with further economic development. 2) The results reveal that entrepreneurial activities have a differential impact: reducing the ecological footprint associated with fishing activities while increasing CO2 emissions. 3) The relationship between GDP and ecological footprints varies by a country's economic status and the intensity of entrepreneurial activity, highlighting how different indices such as internal market dynamics and physical and services infrastructure interact uniquely with these environmental outcomes. The study underscores the importance of tailored economic and environmental policies to mitigate the diverse impacts of entrepreneurship on the ecosystem.