Environmental Degradation and Economic Growth in Nigeria (1990 - 2023)
Abstract
This study examines the effect of Environmental degradation on economic growth in Nigeria, from 1990 to 2024). The study used Carbon dioxide emissions, population growth rate and total greenhouse effect as proxy for Environmental degradation variables while Nigeria economic growth was measured using Gross Domestic Product. The study made use of time series data, and the data were sourced from World Bank Indicators (WDI) of the World Bank, Central Bank of Nigeria (CBN) statistical bulletin and National Bureau of Statistics (NBS) reports. The technique of data analysis adopted include descriptive statistical technique, Augmented Dickey-Fuller (ADF) of unit root test, and Autoregressive Distributive Lag (ARDL) approach. The findings of the study showed that Carbon dioxide emission has a positive and insignificant relationship with the economic variables in the long-run but has a negative and significant relationship with the variables in the short-run, indicating that carbon dioxide emission can influence the economy in the short-run. Population growth rate has a positive and significant relationship with economic growth in Nigeria. Total greenhouse effect has a negative and insignificant relationship with economic growth in the long run but negatively significantly impacted the economy in the short run. Based on the findings, the study concluded that that carbon dioxide emission and total greenhouse effects are significant contributor to environmental degradation, and they play negative vital role in economic growth in Nigeria. Among other things, the study recommended that government should put policies to forestall the emission of greenhouse gases especially CO2 emission from fossil fuel combustion and that the government should promote green economy, make adequate policies to cut down carbon emissions, and adoption of policy measures to support action for climate change for attainment of improved environmental quality alongside growth trajectories in the country.