Dynamic links between ICT, transport energy, environmental degradation and growth: empirical evidence from Tunisia

Abstract

The transport sector, particularly road transport, is a major factor in the overall emissions balance of the substances involved in air pollution for the majority of developing countries. This paper investigates the dynamic links between information and communication technology (ICT), transport energy, environmental degradation and growth for Tunisia. The authors used a Johansen co-integration analysis to determine this econometric relationship using data during 1990–2015. In order to test the Granger causality links in the short and long run, a panel Vector Error Correction Model is used. The variance decomposition is used to confirm the existing links between the different variables. Different results are found. These findings show the existence of bidirectional in short- and long-run causality between transport energy and CO2 emissions. By cons, ICT does not minimize significantly pollution in Tunisia. These findings are very important for the transport sector and in terms of the choice of government policy decisions in order to minimize the pollution.