Exploring education’s moderating role IN CO2 emission and economic dynamics in Asia nations

This study explores the interconnections between carbon dioxide emissions, economic growth, energy consumption, trade openness, and education across 36 Asian countries, focusing on education’s direct and moderating effects. Using the Feasible Generalized Least Squares, Canonical Cointegration Regression, Fully-modified Ordinary Least Square, and two-step Generalized Method of Moments, the study confirms the Environmental Kuznets Curve hypothesis applied for Asian panel data, reflecting the impact of economic growth on CO2 emissions. Additionally, we find that while education directly reduces environmental pollution, it also amplifies the negative effects of energy consumption on the environment in the short run and long run. The impact of trade openness on CO2 emissions varies both in the short run as well as the long run, with the presence of CO2 endogeneity and the moderating role of the high level of education. The study highlights the need for tailored policy approaches and further research, thus calling for context-specific strategies and further research on education’s role in environmental outcomes.