Nexus of Agricultural Economic Growth, Renewable Energy Supply, Trade Openness and CO2 Emissions in Morocco

The Environmental Kuznets Curve posits that as economies develop, environmental pressures initially increase but subsequently decrease as incomes rise and societies adopt stricter environmental policies. This study explores the impact of CO2 emissions, renewable energy consumption, employment in the agricultural sector, and trade openness on agricultural GDP in Morocco. We utilized annual data from 1990 to 2022 and employed the ARDL approach to analyze these long-term relationships. Our findings indicate that CO2 emissions have a significant negative impact on agricultural GDP. Similarly, renewable energy consumption is associated with a decrease in agricultural GDP. Conversely, employment in the agricultural sector did not show a significant effect on agricultural GDP. Lastly, trade openness has a significant positive impact on agricultural GDP. These conclusions underscore the importance of policies aimed at reducing CO2 emissions, optimizing the use of renewable energies, and promoting trade to foster sustainable growth in Morocco's agricultural sector.