The Effect of Energy Consumption, Economic Growth and International Business on Greenhouse Gas Emission in Iran

Nowadays the people all over the world are increasingly worried about the emission of greenhouse gas and the environmental changes resulted. Since Carbon Dioxide (CO2) is the main source of pollution and emission of greenhouse gas، this paper is to study the relationship between the emission of this gas caused by energy consumption، economic growth and international trading in Iran during 1971-2011 based on environmental biology Kuznets Curve in practice. So، auto-distribution method with vast stops is used. The results represent that the use of energy، real gross national production per person and the rate of economy openness has a positive and significant effect on the emission of CO2. Furthermore، for the acceleration of short-term dividend pattern adjustment toward long-term balancing، error correction pattern is used. The coefficient estimated for ECM is -0. 49 representing that imbalance of CO2 emission can be adjusted after two years by changing the level of energy consumption، national gross production and the rate of economy openness. By considering the increase of CO2 emission in Iran، it is necessary to make new environmental policies to decrease environmental destruction.