Investigating the impact of crude oil prices, CO2 emissions, renewable energy, population growth, trade openness, and FDI on sustainable economic growth

This study examines the impact of crude oil prices, CO2 emissions, population growth, "renewable energy consumption, trade openness, and foreign direct investment on economic expansion". The study utilizes a panel of fifteen Arab Oil countries from 2000 to 2021 and employs "fully modified ordinary least squares, dynamic ordinary least squares, robust least squares, and Granger causality". The findings reveal a significant and positive impact of crude oil prices on gross domestic product (GDP), Similarly, CO2 emissions demonstrate a significant and positive impact on gross domestic product (GDP). Conversely, renewable energy consumption (REC) and population growth (POP) show no statistically significant effects on gross domestic product. On the other hand, the study also indicates that trade openness (TO) and foreign direct investment (FDI) do not significantly affect gross domestic product. Furthermore, Granger causality analysis reveals a bidirectional relationship between crude oil prices and gross domestic product, as well as between CO2 emissions and gross domestic product, indicating a bidirectional causality. Population growth also exhibits a strong bidirectional causal relationship with gross domestic product. However, renewable energy consumption and foreign direct investment show no evidence of causality with gross domestic product, while trade openness only Granger causes gross domestic product without reciprocal effects.