The causal relationship between environmental taxes economic growth and CO2 emissions: An empirical application

Climate change has emerged as a critical global problem with greenhouse gas emissions, especially carbon dioxide (CO2). In response, countries around the world are exploring various policy measures to reduce carbon emissions and support sustainable economic development. Among these measures, environmental tax applications have come to the forefront as an economic tool to internalize the external costs of carbon emissions and to encourage emission reductions. This thesis explores the causal relationship between environmental tax policies, economic growth and CO2 emissions through an empirical analysis. In the study, econometric methods were used to evaluate the impact of environmental taxes in Turkey and selected EU countries (Germany, Italy, France). After identifying the relationships between these variables, the study aims to provide information on the effectiveness and consequences of environmental tax policies as a way to mitigate climate change and promote sustainable development. In this study, it is aimed to contribute to the existing literature by presenting evidence-based results on the effects of environmental tax policies on economic indicators and carbon emissions. It is believed that the results will provide valuable information for policy makers, researchers and stakeholders interested in climate change mitigation efforts. Results from this study will be important for designing effective and equitable climate policies that balance environmental goals with economic development goals.