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This study investigates the temporal causal links between foreign aid, institutional quality, and CO2 emissions in low-income and lower middle-income countries from 2005 to 2019. Utilizing a vector error-correction model, the findings reveal complex short-term dynamics, while longer-term results indicate that both institutional quality and CO2 emissions Granger-cause foreign aid. The paper suggests co-development policies aimed at enhancing environmental development and reducing CO2 emissions, in line with

Author

Tin Nguyen

Language

EN