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The study empirically explores the long-run dynamic influence of output, tourism, energy use, trade, financial development, and urbanization on CO 2 emissions in the framework of EKC for Asian economies for the time period 1995-2017. In this study, we tackle cross-sectional dependence problem and use CADF and CIPS unit root tests in contrast to conventional unit root tests. Moreover, we employ LM bootstrap panel co-integration test. The results of DOLS show that GDP and GDP squares have opposite signs which shows inverted u-shaped hypothesis between GDP growth and carbon emissions. We find an evidence of EKC proposition in case of Asian economies. Tourism has a vital role in increasing environment degradation of Asian economies as magnitude of coefficient is 0.132. Moreover, energy use, urbanization, trade, and financial development have direct and a profound impact on environmental degradation. The empirical results thus point to the fact that tourism, trade openness, and urbanization have contributed to the environmental degradation in the Asian region. Hence, the counties of the region should harness renewable energy sources along with environment-friendly technologies to support the tourism at a sustainable level that may be conducive to economic growth and environmental quality as well.

Analyzing the linkage among CO2 emissions, economic growth, tourism, and energy consumption in the Asian economies