Impacts of Internet Usage on CO2 Emissions under The Moderation of Innovative Activities: The Case of Southeast Asian Countries

Abstract

Governments of many countries have been paying more attention to pollution and its negative impacts on the economic development of their countries. Using random-effects and fixed-effects models with a data set from the World Bank, this research aims to assess innovative activities’ significance in moderating internet use’s impact on CO2 emissions in seven Southeast Asian countries from 1996 to 2020. The findings reveal that internet use is positively associated with CO2 emissions in Southeast Asian countries and that innovative activities can mitigate the effects of internet use on CO2 emissions. Based on the research results, the authors believe that, in addition to the growing popularity of the internet, the governments of Southeast Asian countries should have policies in place to promote innovative activities that reduce CO2 emissions while maintaining their sustainable economic development