The Effect of Information and Communication Technology on Environmental Quality with an Emphasis on the Pollution Haven Hypothesis in OPEC

Document Type : Research Paper

Authors

1 University of Mazandaran

2 Member of the faculty of economics at Mazandaran University

Abstract

Nowadays, knowledge and technology are tangled with human life, and it is expected that the advancement of technology and its role in daily human life will reduce pollution. Foreign direct investment (FDI) as one of the driving factors of economic growth has caused the destruction of the environment in most of the host countries (pollution haven hypothesis). Considering the importance of environmental quality and the intertwining of human life with information and communication technology (ICT), this study aims to investigate the impact of ICT and FDI on the emission of carbon dioxide (CO2) as an indicator of the quality of the environment in the OPEC member countries during the period of 2008-2019. The estimation results with the Generalized Moments Method show a U relationship between information and communication technology and carbon dioxide emissions. It is also a confirmation of the hypothesis of environmental pollution of foreign investment for the host countries. With regard to the formation of the global village, it is expected that governments, as supporters of society's health, will direct foreign investment towards the use of clean and environmentally friendly energy by applying laws protecting clean production and closely monitoring it.

Keywords

Main Subjects

References

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