Environment and Growth Sustainability: An Empirical Analysis of Extended Solow Growth Model

Abstract

The concern about how sustainable growth in the economy can be achieved without a negative impact on the environment has become a major issue in the world today due to climate change. This study extended the Solow growth model (SGM) to include ecological resources, land, and population. The study also empirically assesses the impact of particulate emission damage (ped), natural resources (nar), growth in agricultural land (gal), and population growth (pgr) on output per worker in Nigeria. An ARDL technique was adopted to empirically analyse the data. The results from the study found that output per worker increased with an increase in the explained variables used in the study. The study concluded that sustainable growth can be achieved through the reduction of human activities that deplete the environment. The study also recommended the need to prevent depletion of land and natural resources and equip the population with productive skills and technology.