Environmental Kuznets Curve and Turkey: An ARDL Approach

In this study, we analyze the validity of environmental Kuznets curve hypothesis in Turkey. Using autoregressive distributed lag (ARDL) approach, the relationship between CO<inf>2</inf> emissions per capita, gross domestic product per capita, energy consumption, and financial development has been investigated during 1975–2012. In this direction, after empirical literature is firstly dealt with, model and dataset have been determined and analysis has been realized. ARDL model results show that according to the long-term coefficients which obtained for quadratic model, EKC hypothesis is not valid for Turkey economy, and besides energy consumption and financial development affect CO<inf>2</inf> emissions positively in the long term. In this framework, in order to reduce the CO<inf>2</inf> emissions, Turkey should give more importance to renewable energy.