IS THERE AN ENVIRONMENTAL KUZNETS CURVE IN WESTERN BALKANS: EXAMINING EDUCATION-TECHNOLOGICAL INNOVATION-CO2 EMISSIONS

In the period after 2000, the Western Balkans countries significantly improved their development performance and realized benefits from the increase in per capita income. However, the region today faces complex environmental challenges, because of the fact that economic development in these countries is associated with a growing environmental impact. Raising concerns about the growth patterns sustainability in the context of global environmental challenge require coordinated regional efforts and significant investment in adapting and mitigating the impact of harmful environmental practices in order to build resilient and sustainable economies. In this context, the question of the existence of an Environmental Kuznets curve (EKC) in the countries of the Western Balkan region, that is, the existence of an inverted U-shaped relationship between per capita income and environmental quality, arises. Increasing awareness of climate change and the need for sustainable development give the importance of education and technological innovation in reducing CO2 emissions. For this reason, this study examines the relationship between the education and technological innovation and CO2 emissions in the Western Balkan countries over the period 2002- 2022 employing an econometric model based on the panel data for these countries. The findings revealed a positive correlation between education and the reduction of CO2 emissions, while the impact of technological innovations varies depending on the type of technologies used, suggesting that EKC hypothesis is valid in the countries in region. In order to achieve environmental objectives and achieving green economic growth, the authorities of the Western Balkan countries must pursue the strategies for mitigating the CO2 emissions through educational and technological investments.