Agro Fossil Free - Linking renewable energy, globalization, agriculture, CO2 emissions and ecological footprint in BRIC countries: A sustainability perspective

General Description

This paper performs Fourier cointegration and causality tests to analyze the effect of renewable energy generation, globalization, and agricultural activities on ecological footprint and carbon dioxide (CO2) emissions in BRIC countries for the period 1971–2016. The Fourier ADL cointegration test supports a long-run relationship between the considered variables in Brazil and China. The long-term elasticities indicate that globalization increases the pollution indicators, while renewable energy generation significantly reduces environmental pressure in China. Moreover, globalization increases CO2 emissions, while renewable energy generation improves environmental quality in Brazil. The causality results show the existence of bidirectional causality between agriculture and environmental degradation; unidirectional relationships from globalization to the ecological footprint and CO2 emissions; and renewable energy generation to the ecological indicators. Overall, these findings reveal the importance of renewable energy in combating environmental degradation. Based on the above results, renewable energy generation can significantly reduce environmental pollution in Brazil and China. However, renewable energy does not affect environmental pressure in Russia and India. Therefore, these countries should differentiate the current renewable energy generation policies to achieve their sustainable development goals.