Unpacking the Environmental Cost: The Impact of Tourism, Globalization, and Urbanization on Carbon Emissions in the Most Visited Countries

This study investigates the impact of Tourism, Globalization, Urbanization, Energy, FDI and Capital formation on carbon emissions of the top 10 most visited countries. The data of ten most visited economies has been collected from WDI data indicators for 2010-2023. The results reveal that both tourism and urban population growth are affecting positive CO2 emission. The regression analysis highlights the significant positive role of technological advancements in tourism and fiscal efficiency fossil fuel in driving growth, consistent emphasizing their importance in fostering innovation and economic resilience. Conversely, globalization (GLOB) and urbanization (UPG) show substantial negative effects, reflecting challenges like inequality, resource strain etc. The mixed results for FDI and GFCF suggest their benefits depend on contextual factors like institutional quality and effective governance. Globalization has a detrimental effect upon CO2 emissions. Overall, the findings point to necessity of focused strategies to handle urbanization issues, capitalize on technology breakthroughs and maximize the advantages of globalization while fortifying the financial and fiscal institutions.