The dynamic relationship between CO2 emissions, energy usage and Growth in Gulf Cooperation Council (GCC) countries : An aggregated analysis

This study examines the causal relationship between carbon dioxide emissions, energy consumption and real income within a panel vector error correction model for six Gulf Cooperation Council (GCC) countries namely Bahrain, Kuwait, Saudi Arabia, Oman, Qatar and United Arab Emirates over the period 1980-2010. In the long-run, the results show that energy consumption has a positive and statistically significant impact on carbon dioxide emissions. Moreover, we show evidence of the presence of the Environmental Kuznets Curve (EKC) for GCC countries.