The Effects of Information and Communication Technology, Economic Growth, Trade Openness, and Renewable Energy on CO₂ Emissions in OECD Countries

This study examines the relationships between information and communication technology (ICT) usage and CO₂ emissions considering economic growth, trade openness, and renewable electricity in the Organization for Economic Co-operation and Development countries for the period 1990–2018. It adopts pooled mean group (PMG) estimation based on the autoregressive distributed lag model. The PMG estimates indicate that although the coefficient value is small, ICT progress acts as a factor in increasing CO₂ emissions in the long run. However, there is no significant short-run relationship between these two variables. Furthermore, economic growth increases CO₂ emissions in the short and long run. The expansion of renewable electricity and trade openness reduces CO₂ emissions in the long run. To mitigate the CO₂ emissions originating from ICT, energy-saving technologies that use ICT as an energy management system should be further enhanced. The expansion of renewable electricity and the promotion of trade openness will also contribute to the mitigation of CO₂ emissions in this region.