Ngangnchi, Fo be Hodu; Aquilas, Nkwe a Ajong; Mbella, Muke e Emmanuel
A icle
Na u al esou ce use, indus ializa ion and clima e change
in A ica: Bluep in s o sus ainable egional de elopmen
Resea ch in Globaliza ion
P o ided in Coope a ion wi h:
Else ie
Sugges ed Ci a ion: Ngangnchi, Fo be Hodu; Aquilas, Nkwe a Ajong; Mbella, Muke e Emmanuel
(2024) : Na u al esou ce use, indus ializa ion and clima e change in A ica: Bluep in s o
sus ainable egional de elopmen , Resea ch in Globaliza ion, ISSN 2590-051X, Else ie , Ams e dam,
Vol. 9, pp. 1-10,
h ps://doi.o g/10.1016/j. esglo.2024.100245
This Ve sion is a ailable a :
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Na u al esou ce use, indus ializa ion and clima e change in A ica:
Bluep in s o sus ainable egional de elopmen
Fo be Hodu Ngangnchi
a
, Nkwe a Ajong Aquilas
b
,
*
, Muke e Emmanuel Mbella
c
a
Depa men o O ganiza ional Sciences, Highe Ins i u e o Comme ce and Managemen , The Uni e si y o Bamenda, Came oon
b
Depa men o Economics, Uni e si y o Buea, Sou h Wes Region, Came oon
c
Depa men o Managemen Science, Highe Technical Teache s’T aining College, Kumba, Uni e si y o Buea, Sou h Wes Region, Came oon
ARTICLE INFO
Keywo ds:
Clima e change
En i onmen al egula ion
En i onmen al Kuzne s Cu e
Indus ializa ion
Na u al esou ce use
Sus ainable de elopmen
ABSTRACT
Clima e c isis con inue o anima e en i onmen al policy deba e and emains a undamen al global conce n.
While na u al esou ces use and indus ializa ion a e main d i e s o clima e change especially in de eloping
coun ies like A ica, p e ious empi ical s udies ha e ailed o analyze he simul aneous e ec o bo h on clima e
change. To close his gap, he cu en s udy in es iga es he ela ionship be ween na u al esou ces use,
indus ializa ion and clima e change in A ica. Speci ically, his s udy analyzes he e ec o na u al esou ces
en s and alue added in manu ac u ing on ca bon dioxide emissions. Add essing hese issues is impo an , as he
implica ions o na u al esou ces ex ac ion and indus ial de elopmen on en i onmen al sus ainabili y canno
be unde es ima ed. This pape is e y ele an because o he limi ed esea ch on comp ehensi e amewo ks
ha in eg a e na u al esou ces use wi h indus ializa ion policies speci ic o A ica. Using da a om 2005 o
2022 o 45 A ican coun ies ob ained om he A ican In as uc u al and Wo ld Bank da abases, and
employing he C oss-Sec ional Feasible Gene alized Leas Squa es, D iscoll-K aay e ec s, Dynamic D iscoll-K aay
e ec s and Panel Quan ile on Quan ile eg ession echniques, he empi ical indings e ealed ha na u al e-
sou ces en s and indus ializa ion ad e sely con ibu e o clima e change in A ica. Quan i a i e esul s show
ha a 1% inc ease in na u al esou ce en s inc eased ca bon dioxide emissions by 0.000103% o bo h Feasible
Gene alized Leas Squa es and D iscoll-K aay es ima es and by 0.00813% o he Dynamic D iscoll-K aay es i-
ma es. Fu he mo e, a 1% inc ease in alue added in manu ac u ing led o a 0.377% inc ease in ca bon dioxide
emissions o bo h Feasible Gene alized Leas Squa es and D iscoll-K aay es ima es and a 0.157% inc ease o
Dynamic D iscoll-K aay es ima es. The esul also shows ha he e ec o na u al esou ce ex ac ion and
indus ializa ion on clima e change become nega i e a bo h he 25% quan ile and 50% quan ile. Howe e , his
u ning poin becomes nulli ied a he 75% and a 90% quan iles. A ica should adop a g een pa h o na u al
esou ce use and indus ializa ion.
1. In oduc ion
Since he s a o he Indus ial Re olu ion a ound 1760, human
ac i i ies ha e con ibu ed signi ican ly o a mosphe ic emissions o
ca bon dioxide and o he g eenhouse gases, al e ing he plane ’s cli-
ma ic composi ion. The ea h’s clima e is also in luenced by na u al
p ocesses including a ia ions in land use pa e ns. This explains why
empi ical deba es ocus on he ole o na u al esou ces use and indus-
ializa ion on clima e change. Fo ins ance, s udies such as Adebayo
and ¨
Ozkan (2024), Adebayo e al. (2024), Haseeb e al. (2020); Fan e al.
(2023) and Aladeja e (2023) ha e eco ded ha he amoun o GHGs in
he en i onmen a e u he boos ed by he expanding scales o
economic ac i i ies pa icula ly manu ac u ing. Mine als, ene gy, ood,
ibe and o he na u al esou ces om he en i onmen a e u ilized by
man o economic pu poses, which deg ades he ecological sys em. This
is h ough chemical agen s and ene gy pa icles and eleasing o
poisonous pa icles, p oducing palpable unbalanced en i onmen al si -
ua ions (Zubai e al., 2017). Inc ease in g eenhouse gas (GHG) emis-
sions is a signi ican ac o con ibu ing o his se ious ecological c isis.
Ha m ul componen s en e he en i onmen h ough indus ial si es ha
elease ha m ul smoke, apou and umes, damaging he ecosys em and
agg a a ing clima e change. G ow h in ca bon dioxide (CO
2
) emissions
is s ongly linked wi h he inc eased consump ion o non- enewable
ene gy consump ion in economic ac i i ies ela i e o enewable en-
e gies, which educe en i onmen al deg ada ion (Adebayo &
¨
Ozkan,
* Co esponding au ho .
E-mail add ess: [email p o ec ed] (N. Ajong Aquilas).
Con en s lis s a ailable a ScienceDi ec
Resea ch in Globaliza ion
jou nal homepage: www.sciencedi ec .com/jou nal/ esea ch-in-globaliza ion
h ps://doi.o g/10.1016/j. esglo.2024.100245
Recei ed 17 Janua y 2024; Recei ed in e ised o m 26 July 2024; Accep ed 4 Augus 2024
Resea ch in Globaliza ion 9 (2024) 100245
A ailable online 12 Augus 2024
2590-051X/© 2024 The Au ho (s). Published by Else ie L d. This is an open access a icle unde he CC BY-NC-ND license ( h p://c ea i ecommons.o g/licenses/by-
nc-nd/4.0/ ).
2024; Adebayo e al., 2024; Xu e al., 2022; Adebayo, 2022; Aquilas
e al., 2024; Aquilas &A emnkeng, 2022).
G eenhouse gas concen a ions ha e isen signi ican ly since he
indus ial e olu ion, wi h inc eased indus ializa ion and consequen ly
ex ac ion o na u al esou ces. Fo example, a mosphe ic CO
2
concen-
a ions eached 409.8 ppm (pa s pe million) in 2019, which is highe
han a any o he ime in he las 800,000 yea s (Lindsey e al., 2020).
P io o he Indus ial Re olu ion, he CO
2
concen a ion was 280 ppm,
and o he las h ee cen u ies, i has a ied be ween 180 and 280 ppm.
This igu e ose in he pas 10 yea s, eaching 2.1 ppm yea ly om he
1950s when i was highe by abou 0.7 ppm yea ly (Be gamaschi e al.,
2013). G eenhouse gas emissions (GHG) in India and China signi ican ly
educed be ween 2019 and 2020 due o a su ge in he COVID 19 c isis
which hampe ed economic ac i i ies globally. Howe e , he emissions
egained a posi i e ajec o y as he empo a y lockdowns we e li ed
(Ahmed e al., 2022). En i onmen al ci cums ances also wo sened a
same pe iod. Fo ins ance, he a e age global empe a u e in 2021 was
1.11◦C which is highe han p e-indus ial le els (Aladeja e, 2022).
In he wake o inc eased en i onmen al p essu es and s esses, he
Pa is clima e ag eemen , o en known as COP21 was bo n in 2015 wi h
he aim o limi ing he g ow h o g eenhouse gas (GHG) emissions (Alola
&Adebayo, 2023c; I an e al., 2022; Aquilas &A emnkeng, 2022;
Aquilas e al., 2022). This acco d a ge s ne -ze o GHG emissions by
achie ing less han 2 ◦C a e age empe a u es globally and making su e
i does no bypass 1.5 ◦C. Successi e Uni ed Na ions (UN) acco ds a e
his (COP26, COP27 and COP28) ha e con inued o emphasize he
de elopmen and u iliza ion o enewable ene gy echnologies as he
channel h ough which g ow h in ca bon emissions can be cu ailed.
Mos ecen ly, building on p e ious ag eemen s, COP28 emphasized
ou pilla s global clima e ac ion needs o ocus on in o de o keep
global a e age empe a u es a bay. These include as - acking an en-
e gy ansi ion desc ibed as jus , o de ly and equi able; inc easing he
commi men s o he Pa ies owa ds clima e inance mobiliza ions;
dwelling on he people, hei li es as well as li elihoods and os e ing
ull inclusion in clima e ac ion. In ac , he issue o collabo a ion espe-
cially wi h non-membe s o he Pa y o he clima e change con en ion
(ci ies, businesses, in es o s, subna ional egions and ci il socie y) was
e-echoed (Uni ed Na ions F amewo k Con en ion on Clima e Change
[UNFCCC], 2024).
The le el o manu ac u ing ac i i ies, esou ce exploi a ion, global-
iza ion, u baniza ion, income g ow h, and he de elopmen o human
capi al a e all c ucial elemen s ha a ec indus ial de elopmen on he
A ican con inen (Zhan, 2020). Howe e , he use o hese componen s
in any na ion’s indus ial g ow h migh aise ques ions abou he sus-
ainabili y o he en i onmen . Th ough damaging ex ac i e ope a-
ions, na u al esou ces equi ed o indus ial expansion led o
en i onmen al deg ada ion. In o de o indus ialize, de eloping na ions
ha e ex ac ed huge amoun s o na u al esou ces, which has had
de imen al ecological epe cussions (Aladeja e, 2023). Examples
include he deg ada ion o he ecosys em caused by he ex ac ion o
non- enewable na u al esou ces such as mine als, c ude oil, and na u al
gas (Majeed e al., 2021; Aladeja e, 2022; Ganda, 2022; Adekoya e al.,
2022; Adebayo e al., 2022). The expanding pa adigm shi , pa icula ly
in de eloping na ions wi h social and economic oppo uni ies om u al
o u ban a eas, is ano he en i onmen al conce n b ough on by
indus ializa ion. As u baniza ion in weal hy na ions con inues o in-
c ease, u al–u ban mig a ion has been inc easing in de eloping na ions
(Awad &Mallek, 2023; Kundu, Venka , &Babu, 2020; Qui o, del Río-
Rama, ´
Al a ez-Ga cía, &Du ´
an-S´
anchez, 2022; Yang &Khan, 2022). I
no p ope ly managed, such apid indus ializa ion and ex ac ion o
na u al esou ces can be damaging o he en i onmen , c ea ing mo e
clima ic p oblems.
Mos A ican coun ies a e wi nessing an inc ease in indus ial p o-
duc ion, which has become a de elopmen p io i y, coupled wi h a
s able inc ease in esou ces ex ac ion. Fo ins ance, manu ac u ing
ou pu in Sou h A ica, Rwanda, and Nige ia inc eased by 39.3 %, 30.2
%, and 4.6 % espec i ely in 2021 (Moll de Alba &Todo o , 2022).
E o s by de eloping coun ies o win suppo o indus ial ans-
o ma ion ha e he e o e in ensi ied in ecen yea s and his has led o
e y apid inc eases in he amoun o ene gy used o p oduce p oduc s
and se ices (Nazlioglu e al. 2011, Sola in e al. 2017). Fu u e p os-
pe i y o he con inen may be dim i hese indus ial expansions a e no
en i onmen ally sound. Demand o na u al esou ces is ising as a
esul o indus ializa ion bo h wi hin and ou side o A ica. A ound 30
% o he wo ld’s mine al ese es a e hough o be con ained in A ica’s
massi e ex ac i e indus ies (UNEP, 2024). Addi ionally, 40 % o he
wo ld’s gold deposi s and 90 % o he ch omium and pla inum deposi s
o he wo ld a e loca ed on he A ican con inen (Aladeja e, 2020).
Again, oughly 12 % and 8 % o he wo ld’s o al ese es o oil and
na u al gas espec i ely a e ound in A ica (UNEP, 2024).
In he las h ee decades, A ica has wi nessed a con inuous inc ease
in CO
2
emissions, on he a e age, hough he con inen eco ds he
lowes emissions le els compa ed o Asia (Aquilas &A emnkeng, 2022).
Acco ding o Wo ld Bank (2024) da a, CO
2
emissions o Sub-Saha an
A ica inc eased om abou 401805k in 1990 o 760868k in 2020
while o he Middle Eas and No h A ica, i ose om 860,056 k in
1990 o 2,416,065 k in 2020. This inc easing end in CO
2
emissions
e lec s an inc ease in economic ac i i ies, highly ueled by consump ion
o ene gy om non- enewable sou ces. A ica’s ecological deg ada ion
is u he agg a a ed by inc eased exploi a ion o i s na u al esou ces
(Aladeja e, 2022), leading o na u al esou ces deple ion. Fo ins ance,
he na u al esou ces deple ion a e o Sub-Saha an A ica ha s ood a
5 % o GNI in 1990 se led a 6 % in 2020, hough a a e o up o 11 %
was wi nessed wi hin he pe iod (Wo ld Bank, 2024). Consequen ly, he
clima e ca as ophe emains a majo conce n ac oss he A ican con i-
nen , as he con inen is mo e ulne able o clima ic shocks. Wi h he
younges popula ion in he wo ld and an a e age annual popula ion
g ow h a e o 2.4 % o he las 30 yea s (A DB, 2024) and he a e o
u baniza ion p edic ed o be he g ea es in he wo ld by 2050 (Wal he ,
2021), he clima e p oblem emains a eali y ha mus be deal wi h.
Nomencla u e
Ac onyms and abb e ia ions
A DB A ican De elopmen Bank
AMG Augmen ed Mean G oup
ARDL Au o eg essi e Dis ibu ed Lag
CD C oss Sec ion Dependence
CIPS C oss-sec ionally Augmen ed Im-Pesa an-Shin
CO
2
Ca bon Dioxide Emissions
DOLS Dynamic O dina y Leas Squa es
FDI Fo eign Di ec In es men
EKC En i onmen al Kuzne s Cu e
FGLS Feasible Gene alized Leas Squa es
FMOLS Fully Modi ied O dina y Leas Squa es
GHG G eenhouse Gas
GHGs G eenhouse Gases
GNI G oss Na ional Income
PMG Pooled Mean G oup
UN Uni ed Na ions
UNEP Uni ed Na ions En i onmen P og amme
UNFCCC Uni ed Na ions F amewo k Con en ion on Clima e Change
USA Uni ed S a es o Ame ica
VECM Vec o E o Co ec ion Model
WDI Wo ld De elopmen Indica o s
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
2
Thus, he need o s udies o guide policy o mula ion ega ding he
implica ions o na u al esou ces use and indus ial ac i i ies on clima e
change in A ica. On he basis o he abo e, his s udy se s ou o ealize
wo ope a ional objec i es; i s is o in es iga e he e ec o na u al
esou ce en s on CO
2
emissions; second is o analyze he e ec o alue
added in manu ac u ing on CO
2
emissions.
Ha en gone h ough he in oduc ion sec ion, sec ion wo e iews
he li e a u e, sec ion h ee p esen s he me hodology, sec ion ou
p esen s he indings and discussions while sec ion i e d aws up a
conclusion and p o ides policy sugges ions.
2. Re iew o pas s udies
F om a heo e ical pe spec i e, he En i onmen al Kuzne s Cu e
(EKC) hypo hesis, named a e he Ame ican economis Simon Kuzne s
p o ides he heo e ical basis o unde s anding he implica ions o
economic ac i i ies on clima e change. The idea o he ela ionship be-
ween economic agg ega es and en i onmen al quali y was i s e-
po ed in 1952 and since hen, has been discussed in echnical
con e sa ions abou en i onmen al policy (G ossman &K uege , 1991).
Following his hypo hesis, en i onmen al quali y in a iably imp o es
wi h inc eased clean ene gy p oduc ion and consump ion as i lowe s
ca bon emissions. The EKC hypo hesis has a ac ed g ea a en ion om
bo h academics and policy make s, mainly because o i s implica ions
o sus ainable de elopmen (Zhang e al., 2022; Aquilas e al., 2022).
The EKC amewo k a gues ha a ea ly s ages o de elopmen ,
imp o emen in economic ac i i ies can only be achie ed while
inc easing en i onmen al deg ada ion, bu his endency changes a
highe incomes. This is because as indus ializa ion and economic
de elopmen ad ances, en i onmen al damage inc eases due o he
g ea e use o na u al esou ces, mo e emission o pollu an s, ope a ion
o less e icien and ela i ely di y echnologies, high p io i y gi en o
inc ease in ma e ial ou pu , and dis ega d o o igno ance o he en i-
onmen al consequences o g ow h. Howe e , as g ow h con inues,
cleane wa e , imp o ed ai quali y and a gene ally cleane habi a
become mo e aluable as people make choices a he ma gin abou how
o spend hei incomes. In he pos indus ial s age, cleane echnologies
and a shi o in o ma ion and se ice-based ac i i ies combined wi h a
g owing willingness o enhance en i onmen al quali y becomes neces-
sa y. The a gumen has mo ed beyond his oday as he consequences o
clima e change and global wa ming ha e become mo e gla ing (highe
global empe a u es, ising sea le els, dese i ica ion o p e iously
o es ed a eas, d ying o o i e beds, amongs o he s), cas ing doub s
on he possibili y o an imp o ing en i onmen in he p esence o an
inc ease in economic ac i i ies.
Se e al empi ical s udies ha e examined how na u al esou ces
ex ac ion and indus ializa ion a ec clima e change, wi h mos
concluding ha na u al esou ces ex ac ion and indus ial de elopmen
is de imen al o he en i onmen . Acco ding o Ding e al. (2022),
na u al esou ces ex ac ion is one o he key elemen s a ec ing a na-
ion’s p og ess in indus ial de elopmen . Howe e , hey obse ed ha
unplanned and unmanaged indus ializa ion has a signi ican nega i e
in luence on he en i onmen , pa icula ly on he undamen al ecology,
he habi a s o species and he di e si y o li e on Ea h. Raheem and
Ogebe (2017) s udied he e ec o indus ial de elopmen and u bani-
za ion on CO
2
emissions using a panel o 20 A ican coun ies wi h da a
om 1980 o 2013. The es ima es om pooled mean g oup (PMG)
showed ha bo h indus ializa ion and u baniza ion di ec ly con ibu e
o CO
2
emissions, bu indi ec ly diminish i . Li and Lin (2015) howe e
shows, wi h da a om 1971 o 2010 o 73 coun ies ha he e ec o
indus ializa ion on CO2 emissions depends on income le el. Panel
h eshold eg ession es ima es e eal ha in he low- and middle-
income g oup, indus ializa ion inc eases ca bon emissions bu a high
income le els, he impac becomes insigni ican . Using da a om 1970
o 2015 and employing he Au o eg essi e Dis ibu ed Lag (ARDL)
model and ec o e o co ec ion model (VECM), Liu and Bae (2018)
concluded o China ha indus ializa ion inc eases CO
2
emissions.
Simila e idence exis s o Bangladesh (Shahbaz e al., 2014), Tunisia
(Ghazouani, 2022), de eloped coun ies (Dong e al., 2019), g oup o
de eloping coun ies (Sikde e al., 2022), Saudi A abia (Mahmood e al,
2020), Tu key (Pa a, 2018). S einbach (2019) examined he EKC hy-
po heses o clima e change using da a ha co e ed he yea s 1986
h ough 2014, no ing s ongly ha clima e change is a eal p oblem in
many coun ies. Fodha and Zaghdoud (2010) ound e idence o suppo
he EKC hypo hesis o clima e change in Tunisia. Fu he mo e, Shahbaz
and Sinha (2019) showed ha es ima ion o CO
2
emissions emained
specula i e. Howe e , Song e al. (2013) es ed he EKC hypo hesis in
China and ound inconsis en ou comes ac oss he coun y. Acco ding o
Liu e al. (2017), he ela ion be ween economic g ow h and CO
2
emissions ha causes clima e change was p o en in some ASEAN
coun ies o e he long e m bu was no suppo ed in o he s. Aquilas
e al. (2022) showed ha ag icul u e and g oss domes ic p oduc
signi ican ly cause de o es a ion in he Congo Basin, wi h a U-shaped
pa e n obse ed. Mo eo e , an in e ed U-shaped ela ionship was
ound be ween manu ac u ing and de o es a ion, bu essing he ac
ha hough economic ac i i ies can c ea e en i onmen al s esses, he
en i onmen can s ill be imp o ed while no educing he ac i i ies.
Ahmed e al. (2022) used panel da a om 55 coun ies in he Asia-
Paci ic egion om 1995 o 2020 and applied an au o eg essi e
dis ibu ed lag (ARDL) model o s udy how indus ializa ion and o eign
di ec in es men a ec he en i onmen . The indings demons a ed
ha indus ializa ion has a bene icial and conside able in luence on he
en i onmen , whe eas FDI gene ally has a majo nega i e impac and
inc eases me hane and CO
2
emissions, leading o he accep ance o
pollu ion ha en (PH) and he en i onmen Kuzne s cu e (EKC) hy-
po heses in he Asia-Paci ic egion. E idence sugges s ha much o he
li e a u e concen a es on de eloped economies (Yuan e al., 2020; Khan
e al., 2021; Rahman &Lamsal, 2021; Nasi e al., 2021; Sa kodie &
Owusu, 2021), demons a ing ha indus ializa ion and na u al
esou ce exploi a ion ha e impo an bea ing on he clima e change
h ough CO
2
emissions. Howe e , he e is also e idence ha de eloping
economies ha e no been neglec ed (Sha ma e al., 2020; Za a e al.,
2020; Haseeb e al., 2020; Zahoo e al., 2022; Gallego-Bono &Tapia-
Ba anda, 2022; Usman &Balsalob e-Lo en e, 2022). These s udies
ha e shown ha indus ializa ion is posi i e on inc easing CO
2
emis-
sions, hence de e io a ing he clima e sys em. The impac o esou ce
ex ac ion and indus ializa ion on clima e a iabili y h ough CO
2
emissions is eal, necessi a ing he business communi y and legisla o s
o ac o clima e change in business decision making (Yang &Khan,
2022; Qui o e al., 2022).
Liu (2023) analyzed he nexus be ween na u al esou ces exploi a-
ion and CO
2
emissions in he USA. Employing da a om 1984 o 2021
and he quan ile eg ession echnique, he s udy showed ha na u al
esou ce ex ac ion impac s nega i ely on clima e change, necessi a ing
he as expansion and u iliza ion o enewable ene gy and echnological
inno a ions. Kwakwa e al. (2020) in es iga ed he e ec o na u al
esou ces ex ac ion on CO
2
emissions and ene gy consump ion in
Ghana om 1971 o 2013 using he ARDL echnique. The esul e ealed
ha esou ces ex ac ion agg a a es CO
2
emissions in he long un.
Alhassan and Kwakwa (2023) also eached a simila conclusion o
Ghana wi h an ex ended da ase om 1971 o 2018 based on he Fully
Modi ied Leas Squa es me hod wi hin he En i onmen al Kuzne s
Cu e (EKC) amewo k. Cai e al. (2023) also a gues, based on he Fully
Modi ied O dina y Leas Squa es (FMOLS), Dynamic O dina y Leas
Squa es (DOLS), and Canonical Coin eg a ion Reg ession (CCR) wi h
da a om 1989 o 2021 o China ha o al na u al esou ces ex ac ion
de e io a es he en i onmen h ough ising CO
2
emissions and com-
p omises he COP26 objec i es. Again, u ilizing panel da a o ASEAN
coun ies be ween 2006 and 2020, Nguyen e al. (2023) queues up wi h
o he s udies o con i m ha inc eased na u al esou ces en s leads o
high emissions o CO
2
bu ha enewable ene gy consump ion use will
inc ease en i onmen al sus ainabili y. Balsalob e-Lo en e e al. (2021)
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
3
howe e conclude ha an in e ed U-shaped ela ionship exis be ween
na u al esou ces ex ac ion and CO
2
emissions o Eu opean coun ies,
insinua ing ha a a ce ain le el, en i onmen al sus ainabili y can be
gua an eed.
The con ibu ion and no el y o he cu en s udy o he li e a u e is
e iden . To he bes o ou knowledge, his s udy is he i s o in es iga e
he simul aneous e ec o na u al esou ces use and indus ializa ion on
clima e change in A ica. While some s udies (Liu, 2023; Alhassan &
Kwakwa, 2023; Cai e al., 2023; Nguyen e al., 2023; Ni, 2023;
Balsalob e-Lo en e e al., 2021; Kwakwa e al., 2020; Baloch e al., 2019)
ha e concen a ed on he e ec o na u al esou ces ex ac ion on
clima e change, o he s (such as Sikde e al., 2022; Dong e al., 2019; Liu
&Bae, 2018; Raheem &Ogebe, 2017; Li &Lin, 2015; Mahmood e al,
2020; Pa a, 2018) ocused on he e ec o indus ializa ion. No s udy so
a appea s o ha e analyzed he combined e ec o esou ce ex ac ion
and indus ializa ion on CO
2
emissions. This s udy he e o e ep esen s
an addi ion o he exis ing li e a u e on his subjec , which is s ill scan y
bu g owing. By s udying he combined e ec o esou ces ex ac ion
and indus ializa ion on clima e change, his s udy becomes mo e
comp ehensi e as in eg a es wo majo d i e s o clima e change
(exploi a ion o na u al esou ces and indus ializa ion) in A ica.
Fu he mo e, his s udy uses an upda ed da ase spanning om 2005 o
2022 while also ex ending he numbe o A ican coun ies o 45 unlike
mos p e ious s udies. Again, mos pas s udies explo ed ha e employed
econome ic echniques such as FMOLS, DOLS, CCR, ARDL, VECM,
PMG, panel da a me hods (OLS and ixed e ec s), augmen ed mean
g oup (AMG), c oss-sec ional ARDL (CS-ARDL), panel ARDL, h eshold
eg ession wi h a ew employing Panel Quan ile on Quan ile eg ession
and none using he easible gene alized leas squa es (FGLS) and he
D iscoll-K aay and Dynamic D iscoll-K aay models. Following Adebayo
(2024) and Adebayo and ¨
Ozkan (2024), adop ion o panel quan ile
eg ession is ad an ageous, as i makes possible he es ima ion o
he e ogenous e ec s ha may cha ac e ize he condi ional dis ibu ion
o he dependen a iable, while also aking ca e o indi idual and ime-
speci ic ex aneous a iables. The panel quan ile on quan ile eg ession
me hodology allows us o unde s and he ela ionships be ween he
a iables ou side o he mean o he da ase (25 % quan ile, 50 %
quan ile, 75 % quan ile and a he 90 % quan ile). Addi ionally, he
employmen o he no el easible gene alized leas squa es (FGLS),
D iscoll-K aay and Dynamic D iscoll-K aay models a e app op ia e and
consis en in he p esence o c oss-sec ional dependence and he e o-
skedas ici y, as he case is wi h he cu en s udy. Thus, his s udy ills
bo h he empi ical and he me hodological gaps.
3. Ma e ials and me hods
The hema ic scope o his s udy is on he nexus be ween na u al
esou ce use, indus ializa ion and clima e change in A ica. The s udy
u ilizes a global panel da a spanning om 2005 o 2022 inclusi e o 45
A ican coun ies collec ed om A ican De elopmen Bank (2022) and
he Wo ld De elopmen Indica o s (2023). These coun ies whose lis
appea s on he appendix we e selec ed on he basis o a ailabili y o
comple e and non- unca ed da a. The empi ical model o his s udy is
in o med by he empi ical s udies o Aladeja e and Nyipu en (2023), Liu
(2023), Alhassan and Kwakwa (2023), Cai e al. (2023), Nguyen e al.
(2023), Balsalob e-Lo en e e al. (2021), Ni (2023), Kwakwa e al.
(2020), Baloch e al. (2019), Sikde e al. (2022), Dong e al. (2019), Liu
and Bae (2018), Raheem and Ogebe (2017), Li and Lin (2015), Mah-
mood e al. (2020), Pa a (2018) and Ahmed e al. (2022) and he EKC
hypo hesis. Thus;
CO2i =β0+β1NRRi +β2INDUSi +γi
χ
i +ni+
τ
+ξi (1)
F om Eq. (1),CO2i ep esen s a measu e o clima e change, NRRi is
na u al esou ce en s, INDUSi is indus ializa ion as measu ed by sha e
o manu ac u ing o GDP,
χ
i is a ec o o con ol a iables such as
agg ega e in as uc u al de elopmen index, g oss domes ic p oduc
(GDP), ade openness, o eign di ec in es men (FDI), e ia y school
en olmen (TER) and popula ion (POP). The symbol β0is he cons an
e m, β1is he coe icien o na u al esou ce use, β2is he coe icien o
indus ializa ion, γiis a ec o o coe icien s o he ec o o con ol
a iables, niis he coun y ixed e ec ,
τ
is he ime ixed e ec , and ξi is
he s ochas ic e o e m. Table 1 shows he a iables, hei desc ip ions
and sou ces om which he da a was ob ained.
Li e a u e sugges s ha panel da a equen ly ha e he issue o c oss-
sec ional dependence. Due o he inancial o economic in e dependence
o na ions, a numbe o unobse ed ac o s and shocks happen simul-
aneously (De Hoyos &Sa a idis, 2006; Dogan e al., 2017; La i e al.,
2018). The e o e, i is impo an o de e mine i shocks a ec all c oss-
sec ional uni s equally. In he ield o mac oeconomic esea ch,
con empo a y es ima ion echniques ha e a ac ed a lo o in e es om
a ound he wo ld. Howe e , in his age o globaliza ion, when changes
in o he na ions ha e a signi ican impac on o he s, i is impossible o
con inue using con en ional echniques. The mos ecen dynamic
D iscoll-K aay model o D iscoll and K aay (1998) is used o his pu -
pose. Thus, conside ing he linea Eq. (2);
CO2i =β0+β1NRRi +β2INDUSi +γi
χ
i +ni+
τ
+ξi (2)
S acking all obse a ions as shown by Eqs. (3) and (4) is common:
CO2= [CO21 11⋯⋯..CO21T1,CO22 21⋯⋯..CO2NTN,]ʹ(3)
NRR = [NRR1 11⋯⋯..NRR1T1,NRR2 21⋯⋯..NRRNTN,]ʹ(4)
This o mula allows he panel o be unbalanced since o indi idual i,
only a subse i1, …,Ti wi h 1 ≤ i ≤Ti ≤T o all T obse a ions may be
a ailable. I is assumed ha he eg esso s FI i a e unco ela ed wi h he
scala dis u bance e m ζis o all s, (s ong exogenei y). Howe e , he
dis u bances ζ i hemsel es a e allowed o be au oco ela ed, he e o-
skedas ic and c oss-sec ionally dependen . Unde hese p esump ions, λi
can consis en ly be es ima ed using he OLS eg ession, as shown by Eq.
(5).
λi= (NRR*NRRʹ)−1NRRʹ* (5)
By elying on c oss-sec ional a e ages, s anda d e o s es ima ed by his
app oach a e consis en and independen o he panel’s c oss-sec ional
dimension. D iscoll and K aay (1998) showed ha his consis ency
esul holds e en o he limi ing case whe e N → ∞. Fu he mo e,
es ima ing he co a iance ma ix wi h his app oach yields s anda d
e o s ha a e obus o gene al o ms o c oss-sec ional and empo al
dependence. This me hod can also be applied when dealing wi h un-
balanced panel da a (Di zen, 2016) and da a ha has s uc u al ac u es
Table 1
Desc ip ion and sou ces o da a.
Va iable Desc ip ion/measu emen Sou ce
CO
2
p oxy o clima e change h ough CO
2
emissions
Wo ld De elopmen
Indica o s (2023)
NRR
i
NRR is na u al esou ce en s as a
pe cen age o GDP
A ican De elopmen Bank
(2022)
INDUS
i
he log o manu ac u ing alue added
in USD
Wo ld De elopmen
Indica o s (2023)
AIDI Agg ega e in as uc u al de elopmen
index
A ican In as uc u e
Da abase, 2022
GDP GDP in USD A ican De elopmen Bank
(2022)
OPEN ade openness, measu ed as A ican De elopmen Bank
(2022)
FDI o eign di ec in es men s in USD A ican De elopmen Bank
(2022)
TER e ia y school en olmen a e in
pe cen age
Wo ld De elopmen
Indica o s (2023)
POP Popula ion Wo ld De elopmen
Indica o s (2023)
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
4
(Kape anios e al., 2011).
4. Resul s and discussion
4.1. Desc ip i e s a is ics
The main objec i e o his s udy was o in es iga e in o he e ec s o
na u al esou ce ex ac ion and indus ializa ion on clima e change in
A ica. The summa y s a is ics o a iables (Table 2) show ha he
a e age le el o CO
2
emissions ha cause clima e change in A ica
s ands a 7.9 pe cen , na u al esou ce ex ac ion has an a e age alue o
10.87 pe cen , indus ializa ion as p oxy by he log o manu ac u ing
alue added is 22.39 pe cen , and he agg ega e in as uc u al de el-
opmen index s ands a 22.035 pe cen in A ica.
We no e ha he mean o con ol a iables such as o eign di ec
in es men s, GDP, popula ion, e ia y school en olmen , and ade
openness a e 19.45 pe cen , 22.71 pe cen , 15.83 pe cen , 14.32
pe cen , and −0.0567 pe cen age poin s espec i ely.
4.2. Pai wise co ela ions
Econome ic p inciples sugges ha , collinea i y issues pose a
undamen al p oblem in eg ession analysis. To his espec , we asse -
ain he quan i a i e ela ionship be ween he explana o y a iables
wi h he aid o he pai wise co ela ion ma ix, as epo ed on Table 3.
I can be obse ed om he pai wise co ela ion ma ix (Table 3) ha
all co ela ion coe eicien s among he explanao y a iables a e less
han 0.75. This indica es ha he e a e no p oblems o collinea i y
among he independen a iables cap u ed in he model. The e o e, he
a iables could be included in eg ession models sepa a ely as di e en
explana o y a iables ha ha e he abili y o explain he changes in
clima e h ough CO
2
emissions in A ica.
4.3. Uni oo es s
Econome ic p inciples indica e ha non-s a iona y da a cons i u es
a undamen al p oblem in eg ession analysis. We es o s a iona y o
da a in his s udy ia he CIPS Second-Gene a ion es which has he
abili y o con ol o he p oblem o c oss-sec ional dependence in panel
da a. The es esul s epo ed on Table 4 show ha CO
2
emissions,
na u al esou ce ex ac ion, indus ializa ion, popula ion g ow h and
ade openness a e s a iona y a le els. A he same ime, agg ega e
in as uc u al de elopmen index, o eign di ec in es men , economic
g ow h, and e ia y school en olmen a e s a iona y a e i s di e -
ence. As a esul , we conclude ha all panels a e s a iona y.
The i ed sca e plo s p esen ed on Fig. 1 show ha he expec ed
ela ionship be ween na u al esou ce ex ac ion, indus ialisa ion,
o eign di ec in es men , economic g ow h, and popula ion g ow h
wi h CO
2
emission ha cause clima e change a e appa en ly posi i e and
linea . Fu he mo e, we obse e ha he expec ed ela ionship be ween
e ia y school en olemen a e, ade openness, agg ega e in a-
s uc u al de elopmen , wi h CO
2
emission ha cause clima e change
a e appa en ly cons an . In his espec , he ollowing sec ion p esen s a
sui able eg ession me hodology in ackling he quan i a i e ex en
h ough he linea models speci ied.
4.4. Econome ic es ima es
We no e om Table 5 ha he Hausman es s a is ics is signi ican a
he 1 pe cen le el. This in alida es he eliabili y o he andom e ec
model in a ou o he ixed e ec s model esul s o in e ence.
Fu he mo e, es s such as he B eusch-Pagan LM es o independence
and he Modi ied Wald es o g oupwise he e oscedas ici y wi h sig-
ni ican es s s a is ics a 1 pe cen le els con i ms he p esence o he -
e oskedas ici y, he eby in alida ing he ixed e ec s model o
in e ence.
In his s udy, we adop he Pesa an (2004) and Pesa an (2015) c oss
sec ional dependence es o check o he econome ic p oblem o c oss-
sec ional dependence wi hin he panel. Chudik e al. (2013) explained
ha he p esence o he p oblem o c oss-sec ional dependence is due o
he in e ac ion among he coun ies and o he unobse ed ac o s.
The e o e, ailu e o add ess he p oblem o c oss-sec ional dependence
(CD) p oduces biased and inconsis en es ima es.
F om Table 5, he CD es s ongly ejec s he null hypo hesis o no
c oss-sec ional dependence in ou eg ession model. Al hough i is no
he case he e, a possible d awback o he CD es is ha adding up
posi i e and nega i e co ela ions may esul in ailing o ejec he null
hypo hesis e en i he e is e idence o c oss-sec ional dependence in he
e o s. The a e age absolu e co ela ion is 0.243, which is a e y high
alue. Hence, he e is enough e idence sugges ing he p esence o c oss-
sec ional dependence unde a c oss-sec ional ixed e ec speci ica ion.
We he e o e p ope ly es ima e eliable pa ame e s based on he
Feasible Gene alized Leas Squa es (FGLS) and he D isco-K aay s an-
da d e o s es ima o s (Table 6) ha ha e he abili y o elimina e such
p oblems in econome ic analysis.
The esul s a e alida ed by he adjus ed R squa ed o 0.978, which
sugges s ha abou 98 pe cen o changes in clima e om en i onmen al
deg ada ion is due o join a ia ions in na u al esou ce ex ac ion,
indus ializa ion, in as uc u al de elopmen and o he con ol a i-
ables used in his s udy. The esul s a e u he alida ed by he F-s a-
is ics o 6430.06 wi h p- alue o 0.0000 indica ing ha he D isco-
K aay model is signi ican a he 1 pe cen le el and hus, he co-
e icien s es ima ed a e a leas , 99 pe cen eliable o policy in e ence.
The eg ession coe icien s sugges ha p e ious yea ’s CO
2
emission
has a 1 pe cen signi ican and posi i e e ec on he cu en yea CO
2
emission in A ica. This is possibly in he absence o en i onmen al
cleaning which is absen in A ica. Fu he mo e, a pe cen age inc ease in
CO
2
emission in he cu en yea inc eases he cu en yea le el CO
2
le el in yea 2 by a leas 0.630 pe cen age poin s. In his espec , i is
necessa y o keep he CO
2
emission le el low, as an inc ease in a gi en
pe iod will a ec concen a ion and implica ions in he nex pe iod
posi i ely. Thus, CO
2
emissions mus be egula ed gi en i s a eaching
consequences on he en i onmen and human li e.
The indings ac oss he di e en models (C oss-Sec ional FGLS,
Table 2
Summa y desc ip i e s a is ics.
VARIABLE Obs. Mean S d. De . Min Max
CO
2
810 7.90043 0.2274886 7.536691 8.273545
NRR 805 10.87095 11.09167 −1.19976 67.9176
LINDUS 773 20.39026 3.122002 3.800957 25.15552
AIDI 810 22.03491 18.34845 1.12 98.88
LFDI 769 19.45464 1.805362 10.36072 23.02867
LGDP 810 22.71743 3.140711 4.438643 27.03318
LGDP
2
810 525.9335 104.7409 19.70156 730.793
LPOP 792 15.83075 1.617791 11.32488 19.16262
TER 810 14.32596 3.072544 8.673049 19.52035
LTOPEN 784 −0.0567314 2.339061 −1.573949 15.46033
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
5
D iscoll-K aay, and Dynamic D iscoll-K aay) ha e es ablished ha na -
u al esou ce ex ac ion as p oxy by o al na u al esou ce en , indus-
ializa ion as p oxy by manu ac u ing alue added and he agg ega e
in as uc u al de elopmen index all ha e posi i e e ec s on clima e
change, cap u ed by CO
2
emissions in A ica. The quan i a i e esul s
indica e ha a pe cen age inc ease in na u al esou ce ex ac ion,
indus ializa ion, and in as uc u al de elopmen all ha e he abili y o
inc ease CO
2
emission (clima e change) by 0.00813, 0.157 and 0.0129
pe cen age poin s espec i ely. These coe icien s a e signi ican a 5
pe cen , 10 pe cen and 1 pe cen espec i ely. These indings a e
consis en wi h Kwakwa e al. (2020), who no ed ha na u al esou ces
in A ica ha e been deple ed due o abusi e use and poo managemen
leading o clima ic p oblems. Fu he mo e, Alola and Adebayo (2023a)
showed ha he consump ion o domes ic me allic o es agg a a es
en i onmen al deg ada ion by inc easing GHG emissions while ossil
uels domes ic ma e ial consump ion and biomass educe GHG emis-
sions in Iceland. Adebayo and Ki ikkaleli (2021) howe e a gues ha
enewable ene gy consump ion p e en s he g ow h o CO
2
emissions in
bo h he sho and medium un while Adebayo e al. (2023), con i ms
ha i wo sens ecological oo p in . Ahmed e al. (2022) and Aladeja e
and Nyipu en (2023) also ound consis en esul s as oo ed in he
g eenhouse heo y o clima e change, he Wobble, oll and s e ch he-
o y. These s udies hold ha hough he e a e na u al ac o s ha
con ibu e o clima e change, he e is also he possibili y o es o e he
clima e sys em o equilib ium h ough p ope and imely in e en ion.
Table 3
Pai wise co ela ion ma ix.
NRR LMVA AIDI LFDI LGDP LPOP SETT LTOPEN
NRR 1.0000
LMVA 0.1248 1.0000
AIDI −0.0753 0.2012 1.0000
LFDI 0.1237 0.2945 0.1204 1.0000
LGDP 0.1652 0.6764 0.1523 0.2880 1.0000
LPOP 0.1091 0.6750 −0.3203 0.5345 0.5889 1.0000
TER −0.1756 0.0867 0.2349 0.1402 0.0827 0.0754 1.0000
LTOPEN −0.0526 −0.6453 −0.0274 0.0946 −0.6891 −0.5311 −0.0179 1.0000
Table 4
CIPS second-gene a ion panel uni oo es .
VARIABLE Le els Fi s Di e ence O de o In eg a ion
S a is ics P- alue S a is ics P- alue
CO2 −3.387 0.000 −-−- I(0)
NRR −5.311 0.000 −-−- I(0)
LMVA −6.297 0.000 −-−- I(0)
AIDI −0.281 0.390 −10.518 0.000 I(1)
LFDI −0.409 0.134 −9.405 0.000 I(1)
LGDP −2.250 0.341 −7.345 0.000 I(1)
LGDP2 −0.271 0.393 −7.450 0.000 I(1)
LPOP −8.113 0.000 −-−- I(0)
TER −0.220 0.410 −9.261 0.000 I(1)
OPEN −2.597 0.005 −-−- I(0)
Fig. 1. Fi ed sca e plo s.
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
6
Alola and Adebayo (2023b) u he e ealed ha e iciency in he use o
na u al esou ces mi iga es ca bon emissions.
The indings u he indica e ha o eign di ec in es men s and
e ia y school en olmen used as a measu e o echnological inpu ha e
nega i e implica ions on CO
2
emission in A ica. This indica es ha a
pe cen age inc ease in o eign di ec in es men s and echnological in-
pu s educes CO
2
emission by 0.124 and 0.0273 (signi ican a 1 pe cen )
pe cen age poin s, hence a educ ion in clima e change issues in A ica.
While he coe icien o o eign di ec in es men is consis en ly nega-
i e ac oss all models es ima ed, he coe icien o echnological inpu s
became posi i e and signi ican in he mo e obus Dynamic D iscoll-
K aay model. This is due o he weak le el o echnology in A ica.
This is in line wi h Njiman ed e al. (2023) who no ed ha A ica needs
o inance educa ion and de elop skills h ough inc easing annual
budge a y alloca ions o educa ion o a minimum o 30 % o he s a e
budge . The e ec o FDI is in con as o he indings o Seke e al.
(2015), ye consis en wi h Demena and A eso gbo (2020).
The es ima es show ha he openness o he economy o o eign
ade and popula ion g ow h a e has posi i e and signi ican e ec s on
he olume o CO
2
emission in A ica. As such, a pe cen age inc ease in
he openness o he economy o o eign ade and popula ion g ow h
a e will inc ease he olume o CO
2
emission by 0.506 and 0.205 pe -
cen age poin s espec i ely, leading o clima e change complica ions in
he con inen . Bo h coe icien s a e signi ican a he 10 pe cen le el.
We no e ha in he mo e obus Dynamic D iscoll-K aay es ima es, ade
openness is nega i e bu insigni ican on he olume o CO
2
emission, in
line wi h Al-Mulali e al. (2015), Yu e al. (2019), Ahmed e al. (2017)
who had posi i e impac o ade openness on he en i onmen o bo h
low-, middle- and high-income coun ies.
The esul indica es ha all he coe icien s o GDP a e posi i e in all
models es ima ed. This is consis en wi h he wo ks o Alola and Ade-
bayo (2023a), Adebayo and Ki ikkaleli (2021), Alola and Adebayo
(2023b) and Adebayo e al. (2023) which ound ha economic g ow h
de e io a es he en i onmen . Howe e , he coe icien s o GDP
2
ac oss
di e en eg essions a e nega i e, showing ha he en i onmen al U
sha ped Kuzne s cu e hypo hesis is e i ied o A ica. This is in line
wi h G ossman and K uege (1991) ha he i s o ini ial s ages o
economic g ow h a e associa ed wi h inc eases in en i onmen al
deg ada ion up o a ce ain peak and hen s a s dec easing, and his
ela ion depic s an in e ed U-shaped cu e. The in e ed U-shaped
s ems p incipally om he scale, echnique, and composi ion e ec . The
scale e ec shows how economic g ow h can inc ease pollu ion h ough
he scaling up o economic ac i i ies wi hin economies. We ca ied ou
u he e idence o he indings h ough Panel Quan ile on Quan ile
eg ession me hodology which allows us o unde s and he linkages and
complexi ies be ween he a iables ou side o he mean o he da ase .
These esul s a e shown on Table 7.
I can be no ed om he quan ile eg ession coe icien s (Table 7)
ha ou side he mean o he a iables, he impac o na u al esou ce
ex ac ion on clima e change becomes nega i e. This esul sugges s ha
na u al esou ce ex ac ion ini ially inc eases CO
2
emission in line wi h
he EKC hypo hesis up o a ce ain le el beyond which emission educes.
This is in line wi h Kwakwa (2021) who examined he e ec s o na u al
esou ce ex ac ion and enewable ene gy consump ion on ca bon di-
oxide emissions in Sub-Saha an A ica. The esul s o indus ializa ion
Table 5
Baseline es ima es based on pooled, ixed e ec s and andom e ec s es ima ions.
(Pooled
OLS)
(Fixed E ec ) (Random
E ec )
VARIABLES CO
2
CO
2
CO
2
Na u al esou ces en s 0.000103 −0.00207 −0.00297
(0.00708) (0.00182) (0.00181)
Log o manu ac u ing 0.377*** −0.118*** −0.105***
(0.137) (0.0391) (0.0391)
Agg ega e in as uc u e
de elopmen index
0.0145** −0.00849*** −0.00895***
(0.00698) (0.00206) (0.00203)
Log o o eign di ec in es men
in lows
−0.124* −0.00489 −0.00410
(0.0667) (0.00828) (0.00832)
Log o popula ion 0.205* 0.865*** 0.479***
(0.124) (0.180) (0.133)
School en olmen , e ia y −0.0273 −0.0244** −0.00953
(0.0327) (0.00967) (0.00814)
Log o ade openness 0.506** 0.307*** 0.319***
(0.239) (0.0427) (0.0427)
Log o g oss domes ic p oduc 0.924 −0.212 −0.185
(1.340) (0.431) (0.431)
Log o g oss domes ic p oduc
squa ed
−0.0280 0.00493 0.00432
(0.0280) (0.00926) (0.00927)
Cons an −16.40 −9.978* −4.626
(15.30) (5.716) (5.432)
Obse a ions 688 688 688
R-squa ed 0.979 0.982
Numbe o id 45 45 45
Hausman chi2(9) =133.09; P ob >chi2 =0.0000B eusch-Pagan LM es o
independence: chi2
(820) =2385.138, P =0.0000
Modi ied Wald es o g oupwise he e oskedas ici y chi2 (41) =26.95
P ob >chi2 =0.9554
Pesa an’s es o c oss-sec ional independence = − 1.006, P =1.6771
A e age absolu e alue o he o -diagonal elemen s =0.243
S anda d e o s in pa en heses.
*** p <0.01, ** p <0.05, * p <0.1.
Table 6
Feasible gene alized leas squa es, D iscoll-K aay and dynamic D iscoll-K aay
es ima es.
(C oss-
Sec ional
FGLS)
(D iscoll-K aay) (Dynamic
D iscoll-K aay)
VARIABLES CO
2
CO
2
CO
2
Lag o CO
2
emissions 0.630***
(0.153)
Na u al esou ces
en s
0.000103 0.000103 0.00813**
(0.00701) (0.00225) (0.00376)
Log o manu ac u ing 0.377*** 0.377*** 0.157*
(0.136) (0.0477) (0.0914)
Agg ega e
in as uc u e
de elopmen index
0.0145** 0.0145*** 0.0129***
(0.00691) (0.000898) (0.00376)
Log o o eign di ec
in es men in lows
−0.124* −0.124 −0.0913**
(0.0661) (0.0758) (0.0439)
Log o popula ion 0.205* 0.205* 0.155***
(0.123) (0.110) (0.0328)
School en olmen ,
e ia y
−0.0273 −0.0273*** 3.518**
(0.0324) (0.00643) (1.493)
Log o ade openness 0.506** 0.506* −0.0148
(0.237) (0.286) (0.223)
Log o g oss domes ic
p oduc
0.924 0.924** 2.156*
(1.328) (0.364) (1.251)
Log o g oss domes ic
p oduc squa ed
−0.0280 −0.0280*** −0.0436*
(0.0278) (0.00503) (0.0248)
Cons an −16.40 −16.40*** −45.76**
(15.16) (3.168) (19.18)
Obse a ions 688 688 654
R-squa ed 0.979 0.987
Numbe o g oups 45 45 45
Wald chi2(9)
=31332.79
P ob >chi2
=0.0000
F(9, 40) =877.98
P ob >F=0.0000
R-squa ed =
0.9785
F(10, 40) =
6430.06
P ob >F=0.0000
R-squa ed =
0.9866
S anda d e o s in pa en heses.
*** p <0.01, ** p <0.05, * p <0.1.
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
7
e eal ha indus ializa ion con inuously inc eases CO
2
emission,
leading o wo sening clima e change. This is so because e en ou o he
mean o indus ializa ion, he e ec on CO
2
emission as seen ac oss he
di e en quan ile emains posi i e due o accumula ion e ec s esul ing
om lack o en i onmen al cleaning. This is consis en wi h wha we
obse ed in he C oss-Sec ional FGLS, D iscoll-K aay and Dynamic
D iscoll-K aay models es ima ed.
The agg ega e in as uc u al de elopmen index ha was posi i e in
he C oss-Sec ional FGLS, D iscoll-K aay and Dynamic D iscoll-K aay
models es ima ed become nega i e ou o he mean o in as uc u al
de elopmen and CO
2
emission a he 25 % quan ile and he 50 %
quan ile. As such, we obse ed a u ning poin o he e ec o in a-
s uc u al de elopmen on CO
2
emission in A ica a he 25 % quan ile
and he 50 % quan ile, bu his u ning poin is nulli ied a he 75 % and
a he 90 % quan iles ou o he mean o he a iables. Though s udies
sugges ha building o oad in as uc u e gene a es CO
2
emissions (Liu
e al., 2015) as ci ed by Xu e al. (2022), o he s udies (Kuma e al.,
2019) indica e ha CO
2
emissions a y in e sely wi h highway mileage
and mobili y o a ic. The de elopmen o oad in as uc u e also cu s
down a mosphe ic gas emissions h ough agglome a ion which sa e
ene gy (Shao e al., 2019 as ci ed by Xu e al., 2022).
The s udy obse ed ha , e en ou o he mean o o eign di ec in-
es men and CO
2
emissions, he ela ion o eign di ec in es men and
clima e change h ough CO
2
emission emains nega i e, in line wi h
Demena and A eso gbo (2020). We obse e popula ion g ow h a e ha
was posi i e in wi hin he pe iod o he da a becomes nega i e ou o he
mean o popula ion g ow h a e and clima e change h ough CO
2
emission in A ica a he 25 % and 50 % quan iles (consis en wi h he
esul s o Aye &Edoja, 2017). None heless, his nega i e e ec o pop-
ula ion g ow h a e on clima e change h ough CO
2
emissions is nulli ied
a he 75 % and 90 % quan iles. The s udy inds ha ou o he mean o
he da a, he e ec o e ia y school en olmen is nega i e while ha
ade openness is posi i e on clima e change h ough CO
2
emission a
he 25 %, 50 %, 75 % and 90 % quan iles. Again, ou o he mean o he
da ase , economic g ow h becomes nega i e on clima e change, while
he quad a ic e m o economic g ow h becomes posi i e on clima e
change. This is a con adic ion o he En i onmen al Kuzne s Cu e
(EKC) hypo hesis explained by G ossman and K uege (1991) bu in line
wi h Mi i´
c e al. (2023).
5. Conclusion and policy implica ions
This s udy explo es he e ec o na u al esou ce use and indus i-
aliza ion on clima e change in A ican using da a om 2005 o 2022 o
45 A ican coun ies. Using con empo a y me hods and p ocedu es, he
s udy ound ha he u u e o clima e change in A ica is di ec ly ela ed
o he p e ious clima ic condi ions in e ms o CO
2
emissions. I was
es ablished ha na u al esou ce ex ac ion, indus ializa ion and
in as uc u al de elopmen all ha e posi i e e ec s on clima e change
in A ica. Howe e , he s udy ound ha ou side he mean o he a i-
ables, he e ec o na u al esou ce ex ac ion on clima e change be-
comes nega i e. Fu he mo e, he e ec o in as uc u al de elopmen
ha was posi i e becomes nega i e ou o he mean on clima e change a
bo h he 25 % quan ile and he 50 % quan ile, bu his u ning poin
becomes nulli ied a he 75 % and he 90 % quan iles ou o he mean o
he a iables.
The esul s o his s udy imply ha sus ainable egional de elopmen
will emain a a - e ched objec i e o he A ican con inen . Fi s , he
A ican con inen g ea ly elies on he exploi a ion o i s na u al
esou ce po en ials as a main sou ce o e enue mobiliza ion which
should p opel g ow h. The apid ex ac ion o hese esou ces conse-
quen ly esul s in hei deg ada ion, wi h a endan consequences o he
en i onmen , he eby jeopa dizing sus ainable de elopmen . Mo eo e ,
indus ializa ion accele a es deple ion o na u al esou ces and os e s
he emission o GHGs in o he a mosphe e, u he wo sening he
en i onmen al p oblems. Wi h bo h he ex ac ion o na u al esou ces
and indus ial de elopmen in A ica wo sening clima e change, i is
ob ious ha sus ainable de elopmen will be g ea ly hampe ed, as
sus ainabili y equi es ha he economy should g ow while no se iously
des oying he en i onmen .
The quan i a i e indings o his s udy yield some use ul policy
guides o A ican go e nmen in hei d i e owa ds indus ialisa ion in
he ace o global wa ming; Fi s , ollowing a g een pa h o na u al
esou ce ex ac ion and indus ializa ion h ough esou ce-e icien in-
dus ial p oduc i i y, he use o sus ainable ma e ials in p oduc ion,
using p oduc ion esou ces in an eco- iendly way, he use o g een
echnologies ha educes ene gy consump ion and CO
2
emission, and
he adop ion o a p agma ic app oach o en i onmen al go e nance is
necessa y as he wo ld ba les he a aging implica ions o global
wa ming. Second, he e is also he necessi y o s ong en i onmen al
policies o egula e he emission and mo e impo an ly, he cleaning o
he en i onmen o sus ainable managemen o he consequences o
clima e change. Las ly, p ope en i onmen al cos -bene i analysis is
he e o e necessa y o guide na u al esou ce ex ac ion, indus ializa-
ion and in as uc u al de elopmen in A ica so as o mi iga e he
impac o such in es men oppo uni ies on he global en i onmen .
Fu u e s udies could in es iga e he disagg ega ed e ec s o na u al
esou ces and manu ac u ing ac i i ies on mo e comp ehensi e in-
dica o s o en i onmen al deg ada ion.
CRediT au ho ship con ibu ion s a emen
Fo be Hodu Ngangnchi: W i ing –o iginal d a , Me hodology,
Fo mal analysis, Da a cu a ion, Concep ualiza ion. Nkwe a Ajong
Aquilas: W i ing – e iew &edi ing, Visualiza ion, Valida ion, Me h-
odology, Fo mal analysis, Da a cu a ion. Muke e Emmanuel Mbella:
Table 7
Quan ile eg ession es ima es.
(25 %
Quan ile)
(50 %
Quan ile)
(75 %
Quan ile)
(90 %
Quan ile)
VARIABLES CO
2
CO
2
CO
2
CO
2
Na u al esou ces
en s
−0.00391* −0.000425 −0.00142 −0.00523
(0.00217) (0.00207) (0.00331) (0.00725)
Log o
manu ac u ing
0.158*** 0.153*** 0.283*** 0.289**
(0.0420) (0.0401) (0.0640) (0.140)
Agg ega e
in as uc u e
de elopmen
index
−0.00432** −0.00182 0.00748** 0.0103
(0.00214) (0.00204) (0.00326) (0.00715)
Log o o eign
di ec in es men
in lows
−0.00426 −0.00213 −0.0908*** −0.0961
(0.0204) (0.0195) (0.0311) (0.0683)
Log o popula ion −0.165*** −0.112*** 0.0819 0.197
(0.0380) (0.0363) (0.0579) (0.127)
School en olmen ,
e ia y
−0.0141 −0.0187* −0.0357** −0.0606*
(0.0100) (0.00958) (0.0153) (0.0335)
Log o ade
openness
0.687*** 0.640*** 0.921*** 0.984***
(0.0733) (0.0700) (0.112) (0.245)
Log o g oss
domes ic p oduc
−2.355*** −2.275*** −2.720*** −0.740
(0.411) (0.392) (0.626) (1.373)
Log o g oss
domes ic p oduc
squa ed
0.0516*** 0.0485*** 0.0545*** 0.0112
(0.00859) (0.00820) (0.0131) (0.0287)
Cons an 24.55*** 23.72*** 27.30*** 3.544
(4.689) (4.480) (7.148) (15.68)
Obse a ions 688 688 688 688
S anda d e o s in pa en heses.
*** p <0.01, ** p <0.05, * p <0.1.
F. Hodu Ngangnchi e al. Resea ch in Globaliza ion 9 (2024) 100245
8
