Assessing the Impacts of Technological Innovation on Carbon Emissions in MENA Countries: Application of the Innovation Curve Theory

Abstract

This study investigates the relationship between technological innovation, renewable energy, economic growth, and carbon dioxide (CO2) emissions in a group of six specific Middle East and North Africa (MENA) countries from 1990 to 2019. The study utilizes the modified innovation environmental Kuznets curve model (ICC) theory to examine the potential existence of an inverted U-shaped curve between innovation and environmental quality in these selected MENA countries. Various econometric methods are employed to analyse the data. The results show a positive and significant impact of patents for residents on CO2 emissions, affirming the influence of patents on environmental quality. Additionally, the square of patents demonstrates a significant negative relationship with carbon emissions, providing evidence for the inverted U shape of Claudia’s theory. These findings imply that the ICC is relevant to the selected countries, with the quadratic patent variable suggesting that the use of innovative technology initially increases emissions but reaches a turning point after a certain threshold.