Agricultural production and CO2 emissions causes in the developing and developed countries: New insights from quantile regression and decomposition analysis

Agriculture is the dominant economic activity of the economies. The developing and developed countries are responsible for the most greenhouse gasses emitted in the developing areas. Are there heterogeneous determinants of environmental degradation and CO2 emitters in developing and developed countries? and estimating the significance of agricultural production, renewable energy consumption, the industrial revolution, and economic growth. In this study, 22 countries environmental degradation analyze by two (per-capita and liquid) sources of CO2 emissions and using panel data from 1991 through 2016. This study adopts a panel regression (non-additive effects) and quantile regression techniques to explore the connection between agriculture and economic factors. And the extent of the CO2 emitter gap between developing and developed countries. The outcome of agriculture has a positive and significant influence on CO2 emission from liquid with a 36.75% increase in environmental degradation and a negative impact on CO2 emission in the total emissions by 19.12%. The agriculture-related activities negatively influence the environment, such as deforestation for feed cropping, burning of biomass, and deep soil cropping in the developing countries. Furthermore, the quantiles decomposition procedure in agriculture production is signifying heterogeneity of the determinants of environmental degradation, low and high CO2 emitters.