EMPIRICAL ASSESSMENT OF CARBON FOOT PRINT ON THE ECONOMIC GROWTH OF NIGERIA

Abstract

This study investigates the relationship between carbon foot print and economic performance in Nigeria over the period 1980 – 2021. An index of carbon emission intensity, trade openness, human capital investment and electricity consumption were regressed on economic growth, proxy with gross domestic product (GDP).The unit root test was performed on the data using the Augmented Dickey Fuller (ADF). The analysis of the data was done using correlation statistics and the general method of moment (GMM) estimation method. The findings from the study showed that carbon emission has an inverse relationship with economic growth of Nigeria. While electricity consumption, trade openness, and human capital investment exerted positive impact on the economic growth of Nigeria and were not significant, except trade openness. The study concludes that carbon footprints have adverse impact on our environment and the general economy. Following the findings from the study, the study recommends that there is a dire need for both individuals, corporate bodies and the government to take drastic measures to reduce carbon footprint as much as reasonably practicable.