İzlek Akademik Dergi, cilt.6, sa.2, ss.37-60, 2024 (Hakemli Dergi)
In this study, which aims to examine the effects of climate change on foreign trade, financial development
index, foreign direct investments and renewable energy consumption, the countries of Turkey, China,
Mexico, India, France, the US, Argentina and Brazil are examined. In the study conducted considering the
1990-2020 time period, it was observed that the series had cross-sectional dependence and had a
heterogeneous structure. In the light of this information, Madfuller, CADF and CIPS second generation panel
unit root tests were applied to the series. Dumitrescu and Hurlin (2012) Panel Causality Analysis was
applied to investigate the causality relationship between the series. The findings showed that the dependent
variable carbon dioxide emissions, which is an indicator of climate change, has a bidirectional causal
relationship with foreign trade, financial development index, foreign direct investments and renewable
energy consumption. The study also underlines that the variables considered to minimize the negative
effects of climate change can be seen not only as a macroeconomic variable but also as a tool of
environmental protection policies.