The impact of intra-regional and inter-regional trade of information and communication technology goods on environmental quality

Document Type : Article extracted From phd dissertation

Authors
Maryam Hajipour Apourvari 1
Mehdi Nejati 2
Sayyed Abdolmajid Jalaee Esfandabadi 3
Mojtaba Bahmani 2
1 Ph.D. Candidate, Faculty of Management and Economics, Shahid Bahonar University, kerman, Iran.
2 Associate Professor, Faculty of Management and Economics, Shahid Bahonar University, kerman, Iran.
3 Professor, Faculty of Management and Economics, Shahid Bahonar University, kerman, Iran.
10.22034/he.2025.553664.1157
Abstract
Recent global environmental challenges have prompted both developed and developing countries to seek strategies for sustaining growth and development while preserving their environment. One effective tool for achieving economic development alongside improvements in environmental quality is international trade. Accordingly, the primary objective of this study is to examine the environmental impacts of bilateral trade in information and communication technology (ICT) goods between developed (North) and developing (South) countries. To this end, a panel model was employed, utilizing pooled data from 2000 to 2023 for 33 developed and 78 developing countries. Additionally, the influence of factors such as energy consumption, foreign direct investment (FDI), gross domestic product (GDP), and population density on environmental quality was investigated. The results indicate that ICT imports from both North and South increase carbon emissions in developed countries, with imports from the North having a stronger effect. Conversely, in developing countries, imports from the North increase CO2 emissions, while imports from the South improve environmental quality, highlighting the benefits of South-South regional trade in reducing pollution. These findings confirm the Environmental Kuznets Curve (EKC) hypothesis, exhibiting a U-shaped pattern in developed countries and an inverted U-shaped pattern in developing countries. The Pollution Haven Hypothesis (PHH) is supported in the South but rejected in the North. Furthermore, energy consumption degrades environmental quality in both groups of countries. FDI contributes to environmental improvement in developed countries but leads to environmental degradation in developing countries.
Keywords
ICT
Inter-Regional Trade
Intra-Regional Trade
Environment
Panel Data
Subjects
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Human Ecology
Volume 4, Issue 13
Winter 2026
Pages 1721-1737