The Effect of Industrial Exports on the Iranian Environmental Quality (1973-2006)

The main objective of this study is to investigate the long-run relationship between industrial exports and environment quality index for Iran over the period of 1973-2006. In this study, the CO2 emission represents the environmental quality. The main model of this study has been estimated by using of ARDL co-integrating technique. The empirical results of model indicate that there is a long-run relationship between industrial exports and CO2 emission. Moreover, the variables of industrial exports, GDP and population density have positive and significant effects on the CO2 emission. The main results of this study show that the impact of industrial exports on the CO2 emission is less than that of the other variables.