Disaggregating the impact of natural resource rents on environmental sustainability in the MENA region: A quantile regression analysis


BİLGİLİ F., Soykan E., DUMRUL C., Awan A., Önderol S., Khan K.

Resources Policy, vol.85, 2023 (SSCI) identifier identifier

  • Publication Type: Article / Article
  • Volume: 85
  • Publication Date: 2023
  • Doi Number: 10.1016/j.resourpol.2023.103825
  • Journal Name: Resources Policy
  • Journal Indexes: Social Sciences Citation Index (SSCI), Scopus, International Bibliography of Social Sciences, Aerospace Database, Aquatic Science & Fisheries Abstracts (ASFA), Business Source Elite, Business Source Premier, Communication Abstracts, EconLit, Index Islamicus, INSPEC, Metadex, PAIS International, Pollution Abstracts, Public Affairs Index, Civil Engineering Abstracts
  • Keywords: Forest rent, Fossil fuels, Mineral rent, Natural resources, Oil rent, Quantile regression, Renewable energy
  • Erciyes University Affiliated: Yes

Abstract

The main contribution of this paper is to analyze the disaggregated impact of natural resource rents on environmental sustainability in the MENA region. While previous literature has explored the overall effect of rents, this study focuses on the specific impacts of rents from forests, minerals, and oil. To do so, a novel quantile method based on moments is employed to analyze long-run heterogeneous impacts at various quantile levels of environmental conditions. The results from the quantile regression reveal that forest rent improves environmental quality, while rents from oil and minerals deteriorate environmental conditions. The study also found that economic growth and fossil fuel use led to an upsurge in carbon dioxide emissions, whereas renewable energy sources showed the potential in mitigating environmental issues. The study provides valuable insights for policymakers to achieve sustainable development goals in the MENA region.