A multivariate analysis of carbon dioxide emissions, electricity consumption, economic growth, financial development, industrialization, and urbanization in Senegal

In this study, a multivariate analysis of carbon dioxide emissions, electricity consumption, economic growth, financial development, industrialization, and urbanization was performed in Senegal using the nonlinear iterative partial least squares (NIPALS) regression during the period 1980–2011. There was evidence of a linear relationship between the variables using the linear regression analysis. However, the explanatory variables exhibited a strong collinearity, which led to using the NIPALS regression analysis. Evidence from the standardized regression coefficient shows that a 1% increase in financial development, electricity consumption, and industrialization will increase carbon dioxide emissions by 0.7%, 0.4%, and 0.1%, respectively, while a 1% increase in urbanization and economic growth will decrease carbon dioxide emissions by 0.2% and 0.1%, respectively.