Assessing the role of human capital and urbanization in shaping the energy environment growth nexus in Sub Saharan African countries
Résumé
Abstract The body of literature on the nexus among urbanization and human capital in the energy-environment-growth nexus has been gradually expanding. However, in order to evaluate environmental degradation, the majority of these research rely on limited environmental gauges, such as carbon dioxide (CO₂) emissions. This study covers this gap by using the ecological footprint as a comprehensive indicator of environmental quality to examine the impacts of biocapacity, urbanization, renewable energy, and human capital on environmental sustainability in Sub-Saharan Africa (SSA) from 2000 to 2018 in the context of the environmental Kuznets Curve (EKC) hypothesis. The results show that the EKC hypothesis is not true across SSA nations using the Driscoll and Kraay standard errors estimation technique. The findings also demonstrate that urbanization, FDI, and human capital development all contribute to the ecological footprint, which exacerbates environmental deterioration. On the other hand, biocapacity and renewable energy help to lessen the strain on the environment. Furthermore, urbanization’s interaction with human capital is crucial in reducing these adverse effects, even while urbanization alone tends to worsen ecological outcomes. These results suggest that enhancing human capital can transform urban growth into a more sustainable process. To advance sustainable development, the study commends policies that encourage the adoption of renewable energy through subsidies and strengthen human capital by investing more in education, healthcare, and technology. Additionally, the attraction of environmentally responsible foreign investment is essential for supporting sustainable development in the region.
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