Energy Consumption, Human Resources, and Environmental Degradation Nexus

Human capital is vital in alleviating the global impact of energy consumption and CO2 emissions. This study investigates the relationship between non-renewable energy use, human capital, and CO2 emissions in selected South Asian countries, including Bangladesh, India, Nepal, Pakistan, and Sri Lanka, throughout 1990–2023. The current study utilized the Driscoll and Kraay (D-K) model because of the presence of cross-sectional dependency (CSD), slope heterogeneity, and autocorrelation in the model. The result of the D-K model showed a significant long-run positive relationship of energy consumption and human capital with CO2 emissions. For robustness analysis, the current study employed AMG, CS-ARDL, and CS-DL models and found that all results are consistent with the findings of the D-K model. The estimates yield a substantial association, indicating that a one-percent increase in human capital leads to a 1.46-percent-significant increase in CO2 emissions, thereby encouraging a sustainable environment, promoting energy-saving measures, and making initiatives to invest in energy-efficient modes to reduce CO2 emissions and the consumption of depletable energy

Energy consumption · Environmental degradation · Human capital · Inefficiency · South asia · Sustainable development · Efficiency Analysis Using DEA · Energy, Environment, Economic Growth · Environmental Impact and Sustainability