The impact of industrialization and self-renewing energy utilization on carbon discharges in the country economics
DOI: https://doi.org/10.3846/tede.2025.24578Abstract
Industrialization has been pivotal in driving economic development. The research problem is the negative impact of industrialization to global warming and climate change. The relevance – enabling the use of renewable energy and green solutions to decrease CO₂ emissions. This research aims to evaluate the impact of short and long-term of industrialization, consumption of renewable energy, trade openness and economic growth on carbon emissions per capita in Indonesia. This research analyses [2000–2023] data, applying econometric ARDL approach and diagnostic tools. The Breusch-Godfrey Serial Correlation (BGSC) results revealed no consistent correlations, when Breusch-Pagan-Godfrey (BPG) test heteroscedasticity was confirmed. Ramsey RESET test (RRT) showed that the model is perfectly specified and significant; CUSUMSQ and CUSUM tools proved the stability of the model, when the VIF multicollinearity results indicated that no multicollinearity exists between the variables. Research findings show: trade openness and the consumption of renewable energy demonstrate a favourable effect for carbon output per capita in Indonesia as outcomes of economic progress, while industrialization has an adverse relationship with emissions of carbon per capita. The research originality – complex evaluation of the relationship between mentioned variables interplay. This publication provides recommendations for policymakers to improve the quality of environment.
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industrialization, economic growth, renewable energy, carbon dischargesHow to Cite
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