Financial globalization and environmental degradation nexus: Evidence from emerging economies


Ulucak Z. S. , İLKAY S. Ç. , Ozcan B., GEDİKLİ A.

RESOURCES POLICY, vol.67, 2020 (Journal Indexed in SSCI) identifier identifier

Abstract

This study explores how financial globalization affects environmental degradation in the emerging economies by using ecological footprint as a proxy for environmental degradation. With this aim, panel data models are conducted for the annual data covering the period 1974-2016. Results indicated that there is not an inverted U-shaped relationship between economic growth and environmental degradation. It was also found that financial globalization contributes to the improvement of the environmental quality level of emerging economies.