The role of tourism development on CO2 emission reduction in an extended version of the environmental Kuznets curve: evidence from top 50 tourist destination countries

Abstract

This study empirically investigates the role of tourism development in an extended version of the environmental Kuznets curve (EKC) for the top 50 tourist destination countries. Panel data on annual basis that range from 1996 to 2016 have been used by employing CADF, CIPS and PANKPSS unit root tests, DSUR cointegrating test as well as DH panel dynamic causality test. The results explain that tourism development exerts significant long-term effects on the extended version of EKC, whereas carbon emission levels significantly move over years through tourism development. Our findings also indicate that tourism development has positive effects on the level of CO2 emissions in the case of Turkey, Thailand, Russia, Greece, Saudi Arabia, Macao, Indonesia, Brazil, Dominica, Philippines, Bulgaria, Tunisia, Egypt, Iran, Georgia, Hong Kong, India and Malaysia. This result suggests that these countries should not use traditional fuel oil consumption methods, and such methods need to be abandoned for reduction in carbon dioxide in terms of environmental quality and sustainability.