Globalization, Urbanization, and Deforestation Linkage in Burkina Faso

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Environmental Science and Pollution Research (2021) 28:22011–22021

https://doi.org/10.1007/s11356-020-12071-6

RESEARCH ARTICLE

Globalization, urbanization, and deforestation linkage


in Burkina Faso
Claire Emilienne Wati Yameogo 1

Received: 17 July 2020 / Accepted: 13 December 2020 / Published online: 7 January 2021
# The Author(s), under exclusive licence to Springer-Verlag GmbH, DE part of Springer Nature 2021

Abstract
This study examines the effect of globalization and urbanization on deforestation in Burkina Faso, over the period 1980 to 2017.
The study employed the autoregressive distributive lag (ARDL) model and the Toda-Yamamoto Granger causality approach.
Empirical findings affirmed that globalization, urbanization, and agricultural land have a positive and significant effect on
deforestation in the long run, while population density reduces the deforestation rate, thus indicating an improvement in
environmental quality. On the other hand, urbanization, economic growth, and population density have a positive and significant
impact on deforestation in the short run. Furthermore, the Granger causality approach confirmed a bidirectional association
between deforestation and urbanization and between globalization and agricultural land, as well as between urbanization and
population density. The result further affirmed a unidirectional causal link running from urbanization to agricultural land. Based
on the empirical findings, the study recommends that the government should ensure more regulation on the removal of barriers to
international trade. The study further recommends that the government should implement relevant agricultural policies to guard
against deforestation since the results of the study suggest that agriculture contributes negatively to deforestation in Burkina Faso.

Keywords Globalization . Urbanization . Financial development . Deforestation . Burkina Faso

Introduction Following the ecological modernization theory, urbaniza-


tion could have positive or negative effects on the quality of
The rate of urban and population growth in Burkina Faso has the environment, depending on the country’s level of modern-
been astronomical and immense. Statistics report from World ization. An empirical study by Li et al. (2017) revealed that
Development Indicator (World Bank 2020) affirmed that the migration from rural areas to urban areas expands forest den-
proportion of people living in urban areas was estimated at sity owing to abandoned agricultural lands. More so, in-
8.80% in 1980, 13.81% in 1990, 17.84% in 2000, 24.63% in creased urbanization equally leads to demand for more agri-
2010, and 28.74% in 2017. Besides being landlocked, the cultural land owing to the population explosion which could
country is one of the least developed in the world and on the result in incessant deforestation in the country. Furthermore, it
continent of Africa. However, the country’s average annual is ostensible to note that in the past few decades Burkina Faso
rate of change in the urban population was 9.14% in 1980, has benefitted from globalization, following the opening up of
5.29% in 2010, and 5.03% in 2017, respectively (World Bank her trade to foreign investment.
2020), and this has resulted in the problem of deforestation, However, the intent to liberalizing trade, allowing for
which has constituted environmental degradation (Abbasi foreign investment as well as creating an enabling business
et al. 2020). environment has resulted in enhanced energy demand
which has in turn encouraged environmental degradation.
For instance, Burkina Faso’s economy depends heavily on
the agricultural sector and it has increased population and
Responsible editor: Philippe Garrigues
urbanization rates, leading to deforestation. A report from
the Food and Agricultural Organization (FAO, 2006) con-
* Claire Emilienne Wati Yameogo
emilieyam@yahoo.fr firmed an annual loss of wood of 12,600 hectares
representing 90% of woodcuts, due to consumption, urban-
1
Department of Economics, University of Lagos, Lagos, Nigeria ization, and industrialization, thus leading to forest
22012 Environ Sci Pollut Res (2021) 28:22011–22021

depletion. More so, scholars have affirmed that this is globalization and urbanization have a positive influence on
harmful to the environment, as it shows that the consump- deforestation, while few other studies assert a negative effect
tion of forest wood in the country is higher than on deforestation. However, to the best of the researcher’s
regenerating it in the country due to poor fertility of the knowledge, few studies have been done in this area in
land. Burkina Faso, but none of these studies has been able to rec-
Based on the above premise, it is evident that few studies oncile the controversy in the previous studies. Based on this,
have explored the issue of deforestation, carbon dioxide emis- this present intends to extend the frontier of knowledge by
sions, and environmental degradation. Studies (see Al-Mulali focusing on issues relating to globalization, urbanization,
et al. 2015; Shahbaz et al. 2016; Twerefou et al. 2016; Danish and deforestation linkages in Burkina Faso.
et al. 2017; Shahbaz et al. 2018; Zafar et al. 2019; Omojolaibi For instance, Ahmed et al. (2014) employed the
et al. 2020; Yameogo and Dauda 2020; and Bayar et al. 2020) autoregressive distributed lag bounds (ARDL) approach to in-
focused more on carbon dioxide emissions as the environmen- vestigate the effects of economic growth, energy consumption,
tal degradation index, which is a critical lacuna in the litera- and trade on Pakistan’s deforestation rate, over the period 1980 to
ture. Following the FAO statistics, as cited by Mongabay 2013. The findings of the study affirmed that economic growth,
(2020), the country deforested about 1,198,000 hectares of energy consumption, and population enhance deforestation in the
the total forest area between 1990 and 2010, which affirms short and long run, while trade openness reduces deforestation
the critical role deforestation plays in climate change, environ- which confirmed the environmental Kuznets curve (EKC).
mental quality, and economic activities as well as in human Further results revealed a bidirectional causality relationship be-
health. tween economic growth and energy consumption. In the same
Deforestation is also responsible for desert encroachment vein, Culas (2007) examined the validity of the environmental
in the country. Subsequent studies affirmed that the country Kuznets curve (EKC) in selected countries in Latin America,
adopted some measures and implemented regulatory policies Africa, and Asia, employing deforestation as the environmental
to checkmate CO2 emissions and deforestation to protect the degradation indicator. The results only validate the EKC for
environment. Among these laws are the environmental laws Latin America and showed that population density, debt, and
of 1992 and the forest code as defined in the 006-97/ADP law proportion of forest area contributed to reducing deforestation.
promulgated in 1997. The law as amended in 2011 shows that More recently, the ARDL was also employed by Zambrano-
forests play an integral part of the national heritage; as a result, Monserrate et al. (2018) to analyze the relationship between de-
its sustainable management as regards the laydown regula- forestation, economic growth, and agricultural exports over the
tions can help protect the environment, prevent forestry ex- period 1974 to 2013, in selected European countries. The results
ploitation, and promote and enhance afforestation and wildlife of the study confirmed the EKC hypothesis for the selected
heritage. countries, except for Greece. More so, Maji (2015) investigates
Based on this premise, this study tends to investigate the the effect of trade openness on deforestation in Nigeria over the
link between globalization, urbanization, and environmental period 1981 to 2011. The study employed the ARDL approach
degradation in the country, with deforestation employed as an and found that economic growth and trade significantly reduced
indicator. Furthermore, it appears that there is a dearth of the deforestation rate, while the population contributed to
literature on the effects of globalization and urbanization on environmental degradation in the long run. Similarly, the ARDL
deforestation in Burkina Faso. This informs the rationale of approach was also employed by Maji et al. (2017) to examine the
the study over the period from 1980 to 2017. In addition, this relationship between economic growth, energy consumption, pop-
study is structured into five sections. The “Introduction” sec- ulation, and deforestation in Nigeria between 1981 and 2011. The
tion discusses the introduction; the review of literature is results of the study affirmed that income enhances environmental
discussed in “Empirical review”, while “Data and methodol- quality by significantly reducing deforestation, while population
ogy” discusses the theoretical framework as well as method- growth significantly increased deforestation in the country.
ology. The “Empirical evidence” section discusses the empir- A recent study by Nathaniel and Bekun (2019) on the im-
ical evidence and data interpretation, while the “Conclusion pact of energy consumption, trade, and urbanization on defor-
and policy recommendation” section discusses the conclusion estation in Nigeria for the period 1971 to 2015, employing the
and policy implication. Bayer-Hanck cointegration test and the ARDL approach for
estimation, shows that energy consumption and urbanization
increases deforestation, while further results revealed a
Empirical review unidirectional relationship running from urbanization to
deforestation. In the same vein, Coulibaly (2017) examined
Studies have been reviewed as regards the effect of globaliza- the impact of macroeconomic policies on deforestation from
tion and urbanization on deforestation; however, there has not 1960 to 2015 in Côte d’Ivoire. The results of the analysis
been any consensus, as some studies affirmed that affirmed that agricultural activities increase deforestation,
Environ Sci Pollut Res (2021) 28:22011–22021 22013

leading to environmental degradation, while population deforestation proxied with environmental quality index,
growth contributed inversely to deforestation. while globalization and urbanization are used as the
Furthermore, employing the fully modified ordinary least explanatory variables. The effect of globalization, urban-
squares (FMOLS) approach, Wang et al. (2016) investigate ization, and agricultural products on deforestation has
the role of urbanization on the evolution of energy been recognized in many previous research papers (see
consumption and carbon dioxide emissions in selected Maji 2015; Wang et al. 2016; Li et al. 2017; Zambrano-
ASEAN countries from 1980 to 2009. The results affirmed Monserrate et al. 2018; Nathaniel and Bekun 2019).
that urbanization enhances carbon emissions, as well as Based on Culas (2012), Li et al. (2017), Combes
producing a unidirectional relationship between et al. (2018), and other previous studies, agricultural
urbanization, energy consumption, and carbon dioxide land, economic growth, and population density are
emissions. Also, Li et al. (2017) analyzed the effects of glob- employed as control variables. The source and measure-
alization and trade on forest transition for 76 selected devel- ments of data are specified in Table 1 below.
oping countries for the period 1990 to 2010. The feasible
generalized least squares (FGLS) method was employed and
the findings indicated that total export and import related for- Model specification
est products reduced forest volume, density, and forest area,
while economic growth and population density increased for- To examine the impact of globalization and urbanization
est area and forest volume. on deforestation in Burkina Faso, the study first spec-
Employing the fixed-effects (FE) model, Faria and ifies a baseline model following the globalization-
Almeida (2016) examined the effect of trade openness on environmental quality frameworks suggested by Leblois
deforestation in 732 municipalities of the Brazilian Amazon et al. (2017), Bergh and Nilsson (2014), and Nathaniel
during the period from 2000 to 2010. The results of the study and Bekun (2019), with a little modification to accom-
affirmed that trade flows and economic growth contributed modate agricultural lands. The derived model is as fol-
inversely to deforestation. In the same, Leblois et al. (2017) lows:
employed the fixed-effects (FE) model to investigate the ef- DEF ¼ f ðGLO; UR; AGR; GDP; POPÞ ð1Þ
fects of agricultural production, economic growth, population,
and institutions on deforestation in selected developed and where DEF is the deforestation, GLO is the globaliza-
developing countries from 2001 to 2010. They found that all tion index, UR is the urbanization, AGR is the agricul-
the variables, except terms of trade and institutions, tural expansion, GDP is the economic growth per
contributed to deforestation and environmental degradation. capita, and POP denotes the population density. The
Similarly, Combes et al. (2018) employed the system of gen- log-linear form is applied to all the variables of the
eralized method of moments (GMM) to examine the relation- study to produce more efficient results and to reduce
ship between domestic credit, natural capital, public spending, dispersion (Tsaurai 2017; Sinha and Shahbaz 2018;
and deforestation over the period 2001–2012. The results Zafar et al. 2019; Alshubiri and Elheddad, 2019).
showed that economic growth, population, domestic credit, Equation 2 is then specified as:
and public spending increased deforestation in developing
countries. lnDEFt ¼ α0 þ α1 lnGLOt þ α2 lnURt þ α3 lnAGRt
To the best of the researcher’s knowledge, there has þ α4 lnGDPt þ α5 lnPOPt þ εt ð2Þ
been no study on deforestation in the context of Burkina
Faso. As such, this study tends to extend the frontier of where DEF is the deforestation, t indicates the period
knowledge by investigating the relationship between (1980–2017), εt is the error term, and the α1, α2, α3,
globalization, urbanization, and deforestation in Burkina α4, and α5 coefficients correspond to globalization, ur-
Faso, which is the contribution to knowledge. This study banization, agricultural expansion, economic growth per
also examines how agricultural land influences deforesta- capita, and population density, respectively.
tion, which was ignored in previous empirical studies. This study employed the ARDL techniques of Pesaran
Table 9 in the Appendix summarizes previous studies that et al. (2001) for the estimation. The model allows for
have identified the drivers of deforestation. distinguishing and determining the long-run and short-run es-
timates and avoids the problem of autocorrelation and
endogeneity in the variables (Pesaran et al. 2001). It also al-
Data and methodology lows for deriving unbiasedness in the long-run outputs. Also,
the technique can be applied irrespective of the order of inte-
This study employed time-series data on the Burkina gration of the variables, i.e., I(0) or I(1). Therefore, the general
Faso economy for the period 1980 to 2017, with form for the ARDL model is as follows:
22014 Environ Sci Pollut Res (2021) 28:22011–22021

Table 1 Description of variables

Variable Symbol Measurement Source

Globalization GLO KOF index Dreher (2006)


Urbanization UR % of the total population World Development Indicators (WDI)
Deforestation DEF % Food and Agriculture Organization (FAO)
Agricultural land AGR % of the total land WDI
Gross domestic product GDP Constant 2010 $US per capita WDI
Population density POP People per hectare WDI

Source: Author’s compilation

ΔlnDEFt ¼ φ0 þ φ1 lnDEFt−1 þ φ2 lnGLOt−1 to investigate the stationarity properties of the variables.


Table 3 presents the results of the unit root tests. Both tests
þ φ3 lnURt−1 þ φ4 lnAGRt−1 þ φ5 lnGDPt−1 present similar results as all variables, except for urbanization
p and population density, which are stationary at level I(0).
þ φ6 lnPOPt−1 þ ∑ δi ΔlnDEF2;t−i There is a mix of stationarity (level and difference), as the
i¼1
variables of the model are stationary at I(0) and I(1), thus
q r
þ ∑ δ j ΔlnGLOt− j þ ∑ δl ΔlnURt−k fulfilling the requirements of the ARDL model.
j¼0 k¼0 The Zivot and Andrews (1992) structural break unit
s t root is also employed to check for the presence of
þ ∑ δl ΔlnAGRt−l þ ∑ δm ΔlnGDPt−m structural break. This is because the ADF and PP tests
l¼0 m¼0
sometimes produce biased results when there is a struc-
u
þ ∑ δn ΔlnPOPt−n þ εt ð3Þ tural break (Dogan and Ozturk 2017). The null hypoth-
n¼0 esis of unit root with a structural break is tested against
the alternative and the results are provided in Table 4
where φ0 is constant, p, q, r, s, t, u, and v are optimal lag
below. The structural breaks of the series are found to
length. φ1, φ2, φ3, φ4, φ5, and φ6 are the long-run estimates.
be in the years 1989, 1998, 2002, 2001, 1991, 1996,
Also, Δ and εt are the first-difference operator and the error
and 1997 (with lag 1) for deforestation, globalization,
correction term, respectively. The null hypothesis of no
urbanization, agricultural land, financial development,
cointegration; i.e., φ1 = φ2 = φ3 = φ4 = φ5 = φ6 = 0 is tested
economic growth, and population density, respectively.
against the alternative, for the bounds test.

Lag order of selection


Empirical evidence
To reduce the problem of endogeneity and eliminate residual
Summary statistics correlation (Ali et al. 2016), it is necessary to determine the
appropriate lag selection before conducting any other
Table 2 presents a descriptive summary of the variables.
Globalization has a mean value of 3.60, a minimum value of Table 2 Descriptive tests
3.30, and a maximum value of 3.98. The mean value of ur-
banization is 2.85, which shows a moderate average urbani- lnDEF lnGLO lnUR lnAGR lnGDP lnPOP
zation rate, while the maximum value reached a moderate rate
Mean 3.154 3.605 2.849 3.627 6.084 3.716
of 3.35. Deforestation has a mean value of 3.15, a minimum
Median 3.143 3.590 2.823 3.590 6.058 3.705
value of 2.96, and a maximum value of 3.39. All the variables
Maximum 3.394 3.989 3.358 3.806 6.531 4.251
are platykurtic and not normally distributed; moreover, all the
Minimum 2.962 3.302 2.175 3.469 5.743 3.216
variables are positively skewed, except urbanization. There is
Std. Dev. 0.128 0.236 0.333 0.115 0.252 0.313
also a variation between the minimum (5.74) and the maxi-
Skewness 0.323 0.326 − 0.150 0.289 0.322 0.078
mum values (6.53) of economic growth.
Kurtosis 2.036 1.620 1.981 1.602 1.653 1.791
Jarque-Bera 2.132 3.687 1.784 3.621 3.528 2.352
Unit root test Probability 0.344 0.158 0.410 0.164 0.171 0.308

The augmented Dickey and Fuller (ADF) (1979, 1981) and Note: *** shows significance at 1% level
the Phillip and Perron (PP) (1988) unit root tests are employed Source: Author’s compilation
Environ Sci Pollut Res (2021) 28:22011–22021 22015

Table 3 Unit root tests

Variables Augmented Dickey-Fuller Phillip Perron

Level First difference Level First difference

T-statistic Prob T-statistic Prob T-statistic Prob T-statistic Prob

lnDEF − 1.283 0.8921 − 4.864*** 0.0004 − 1.111 0.9272 − 6.300*** 0.0000


lnGLO − 2.418 0.3700 − 5.304*** 0.0001 − 2.285 0.4422 − 6.404*** 0.0000
lnURB − 5.204*** 0.0001 - - − 3.325* 0.0624 - -
lnAGR − 2.378 0.3916 − 4.450*** 0.0018 − 2.916 0.1567 − 7.708*** 0.0000
lnGDP − 1.782 0.7133 − 5.760*** 0.0000 − 1.848 0.6812 − 6.829*** 0.0000
lnPOP − 3.288* 0.0858 - - − 4.869*** 0.0004 - -

Note: *** and * show significance at the 1% and 10% levels, respectively
Source: Author’s compilation

estimation. The vector autoregression (VAR) model is then average, all things being equal, at a statistical signifi-
employed for the most efficient results. The Akaike informa- cance of 1%. However, it is confirmed that globaliza-
tion criterion (AIC) is selected as the most appropriate criteri- tion significantly increases deforestation in the long run,
on. The result presented in Table 5 shows that the appropriate which might be possible through trade patterns. More
lag length is 3. Afterward, the cointegration test was also so, wood from the forest is internationally traded for
estimated. the country’s economic growth. Given this scenario, it
may be stated that Burkina Faso’s openness to trade has
ARDL bound test been harmful to the environment, implying that global-
ization seems to have no significant effect on the evo-
The null hypothesis of no cointegration of the bound test was lution of forests in Burkina Faso. This result is similar
tested against the alternative of cointegration, based on the F- to that of Leblois et al. (2017) in the case of developing
statistic test for the null hypothesis. The results in Table 6 countries. Conversely, the finding contradicts that of
below indicate rejection of the null hypothesis, thus suggest- Ahmad et al. (2014) and Maji (2015), where trade sig-
ing long-run cointegration among the variables at the critical nificantly reduced deforestation in Pakistan and Nigeria,
value of 1%. respectively.
Moreover, the study also notes a positive and strong
Results of elasticities coefficient of urbanization in the short and long run.
This suggests that urbanization contributes to deforesta-
The ARDL elasticities are displayed in Table 7. A per- tion. The coefficient of urbanization shows that a 1%
centage change in the first lag of deforestation is asso- increase in urbanization leads to an increase in defores-
ciated with a 0.47% increase in deforestation on tation by 0.31% in the long run, other things remaining
constant. This is in line with the study of Nathaniel and

Table 4 Zivot and Andrew unit root test

Variables Level Time Break First Difference Time Break Table 5 Lag selection
T-statistic T-statistic
Lag LogL LR FPE AIC SC HQ
lnDEF − 7.037*** 1987 − 7.255*** 1989
0 405.944 NA 4.78E-18 − 22.854 − 22.587 − 22.762
lnGLO − 4.940* 1998 − 7.022*** 1998
1 730.296 518.9629 3.45E-25 − 39.331 − 37.465 − 38.687
lnURB − 4.186 2002 - -
2 846.258 145.7802 4.33E-27 − 43.900 − 40.434 − 42.704
lnAGR − 4.483 2008 − 8.400*** 2001
3 944.321 89.658* 2.19e-28* − 47.447* − 42.380* − 45.698*
lnGDP − 5.450** 1996 − 7.939*** 1996
lnPOP − 4.965* 1997 - - NA, not applicable; AIC, Akaike information criterion; FPE, final predic-
tion error; HQ, Hannan Quinn information criterion; LR, sequentially
Note: ***, **, and * show significance at the 1%, 5%, and 10% levels, modified LR statistic; SIC, Schwarz information criterion and * indicates
respectively lag length
Source: Author’s compilation Source: Author’s compilation
22016 Environ Sci Pollut Res (2021) 28:22011–22021

Table 6 Cointegration bound test

Estimated models Lag length F-statistics Correlation LM test Heteroskedasticity test Decision

DEF = f (GLO, UR, AGR, GDP, POP) 1, 0, 1, 0, 0, 1 5.429 0.9970 0.1481 Yes
GLO = f (DEF, UR, AGR, GDP, POP) 1, 0, 1, 2, 0, 0 5.997 0.0718 0.1595 Yes
UR = f (DEF, GLO, AGR, GDP, POP) 1, 0, 0, 0, 0, 1 7.6331 0.4670 0.3301 Yes
AGR = f (DEF, GLO, UR, GDP, POP) 1, 0, 0, 0, 2, 1 6.3988 0.4036 0.2672 Yes
GDP = f (DEF, GLO, UR, AGR, POP) 1, 0, 0, 0, 0, 0 7.6283 0.1252 0.1792 Yes
POP = f (DEF, GLO, UR, AGR, GDP) 1, 3, 0, 1, 0, 0 6.475 0.7601 0.3218 Yes
Lower Bound Upper bound Significance level
3.06 4.15 1%
2.39 3.38 5%
2.08 3 10%

Source: Author’s compilation

Bekun (2019), as well as Defries et al. (2010), who the movement of the population from rural areas to
found that urbanization degrades environmental quality urban areas because of higher living standards. This
in the long and short runs. The possible explanation is search for better conditions of life also comes with a
high demand for land, which in turn leads to woodcuts,
hence deforestation. However, the wood from deforesta-
Table 7 ARDL results tion could also be used as an input for household ac-
tivities or trade patterns, thereby minimizing the nega-
Variables Dependent variable: lnCO2 tive effects of urbanization on the nation.
Agricultural land elasticities can increase environmen-
Coefficient Std. errors T-stats Prob
tal degradation although not significant; however, it
Short-run coefficients might not support the conclusion that forests are under
lnDEF (− 1) 0.474*** 0.144 3.297 0.003 the pressure of agricultural land expansion in Burkina
lnGLO − 0.024 0.049 − 0.490 0.628 Faso. The results also conformed with the findings by
lnUR 0.493** 0.179 2.757 0.010 Culas (2007) and Combes et al. (2018), as well as
lnUR (− 1) − 0.472*** 0.146 − 3.228 0.003 Nathaniel and Bekun (2019), who affirmed that eco-
lnAGR 0.020 0.054 0.364 0.718 nomic growth increases the deforestation rate in the
lnGDP 0.468** 0.150 2.376 0.018 short run in some countries, like Nigeria. Other results
lnPOP − 7.709** 3.242 − 2.378 0.025 by some scholars negate the results of Maji (2015) and
lnPOP (− 1) 7.493** 3.188 2.350 0.026 Defries et al. (2010), who found that annual economic
ECT (− 1) − 0.692*** 0.100 − 6.922 0.000 growth reduces deforestation in Nigeria and three other
Long-run coefficients tropical regions, respectively. A 1% increase in econom-
lnGLO 0.294** 0.172 3.316 0.020 ic growth leads to an increase in deforestation by 0.47%
lnUR 0.308** 0.131 2.363 0.027
in the short run, other things remaining constant.
lnAGR 0.227* 0.083 3.324 0.074
Additionally, Burkina Faso’s economic growth is driven
lnGDP − 0.118 0.124 − 0.951 0.351
by cotton and gold production, with the country being
Africa’s fourth-largest producer of gold (IMF, 2020).
lnPOP − 0.521*** 0.079 − 6.568 0.000
However, the mining sector requires free land that also
C 5.185*** 0.416 12.457 0.000
pushes back and destroys forests, hence the environ-
Diagnostic tests
ment, thus explaining the positive association between
R-square 0.9978 Serial correlation 0.5552 0.5821
economic growth and deforestation. In other words, for
F-statistic 978.339*** Normality 0.1412 0.9317
the country to sustain its strong growth rate, it is im-
ARDL (1.0.1.0.0.1) Heteroskedasticity 4.0171 0.0585
perative to protect the forest land cover.
CUSUM Stable Ramsey reset 0.0359 0.9519
Finally, a negative and statistically strong relationship
Note: ***, **, and * show significance at the 1%, 5%, and 10% levels, between population density and deforestation was
respectively observed in the short and long runs, implying that a
Source: Author’s compilation percent increase in population tends to significantly
Environ Sci Pollut Res (2021) 28:22011–22021 22017

reduce the deforestation rate in Burkina Faso. This causality tests on variables that are I(0) or I(1) (Kumar
result negates the idea that forests are under the et al. 2015). The null hypothesis of no-causality is test-
pressure of the size of the population. More so, the ed against the alternative. The results presented in
result is in line with the findings of Culas (2007) but Table 8 reveal a feedback relationship between defores-
contradicts that of Kwakwa et al. (2014), Maji and tation and urbanization, globalization and agricultural
Habibullaha (2015), Combes et al. (2018), and land, and between globalization and economic growth.
Nathaniel and Bekun (2019). However, Nathaniel and Bekun (2019) found a uni-
The coefficient of error correction term (ECT) is neg- directional causal relationship between urbanization and
ative (− 0.692) and significant at a 1% level, thus im- deforestation; that is, urbanization Granger causes
plying that a 69.2% deviation from the long-run equi- deforestation in Nigeria. Wang et al. (2016) also found
librium is corrected and that it takes approximately a that urbanization Granger causes environmental degrada-
year and 5 months for an adjustment. More so, the tion in ASEAN countries. A bidirectional causal rela-
value of the R-square is 0.99, implying that 99% of tionship was also found between urbanization and pop-
the variation in deforestation is explained by the explan- ulation. A unidirectional causal relationship was found
atory regressor. The probability of the F-statistic shows running from urbanization to agricultural land at a 5%
the significance of the model because the probability of level of statistical significance and from urbanization to
the model is significant at a 1% level, showing that the economic growth at a 10% level of statistical signifi-
overall model is good and significant. Furthermore, the cance. Subsequently, a unidirectional causality relation-
results present no serial correlation and ship was found running from economic growth to agri-
heteroscedasticity related to the estimated model. cultural land at a 1% level of statistical significance.
Subsequently, the stability of the model, as proposed The results further reveal a unidirectional causal rela-
by Brown et al. (1975), is also examined (see Fig. 1). tionship running from population density to globaliza-
For instance, Fig. 1 shows the results of the cumulative tion and from population density to agricultural land at
sum (CUSUM) and the cumulative sum of squares a 5% level of statistical significance.
(CUSUM square) of recursive residuals, with both fig-
ures revealing that the model is stable at a 5% level of
statistical significance. Conclusion and policy recommendation

The Granger causality test Conclusion

Since cointegration does not indicate the direction of the This study explored the role of globalization and urban-
causality, there is a need to carry out this analysis. The ization while examining the role of agricultural land,
Toda-Yamamoto (1995) Granger non-causality technique economic growth per capita, and population density on
is thereafter employed because it provides a clear pic- deforestation in Burkina Faso over the period 1980 to
ture of the direction of the causality. One of the advan- 2017. The stationarity of data was checked with the
tages of using this method is its amiability to analyze ADF and PP unit root tests, with the tests confirming

15 1.6

10
1.2

5
0.8

0.4
-5

0.0
-10

-15 -0.4
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016

CUSUM 5% Significance CUSUM of Squares 5% Significance

Fig. 1 CUSUM and CUSUM Square tests. Source: Author’s compilation


22018 Environ Sci Pollut Res (2021) 28:22011–22021

Table 8 Granger causality test

lnDEF lnGLO lnUR lnAGR lnGDP lnPOP

lnDEF 0.220 (0.803) 7.524** (0.002) 0.875 (0.426) 0.660 (0.523) 2.402 (0.107)
lnGLO 1.885 (0.168) 3.294* (0.050) 5.054** (0.012) 6.349*** (0.004) 4.544** (0.041)
lnUR 12.670*** (0.000) 0.636 (0.535) 0.677 (0.515) 1.122 (0.338) 18.218*** (0.000)
lnAGR 1.949 (0.159) 2.947* (0.067) 4.147** (0.025) 6.250*** (0.005) 3.468** (0.043)
lnGDP 1.358 (0.271) 3.102* (0.059) 2.971* (0.066) 0.181 (0.835) 2.404 (0.106)
lnPOP 1.206 (0.313) 1.330 (0.278) 12.464*** (0.000) 0.050 (0.950) 1.467 (0.246)

Note: ***, **, and * show significance at the 1%, 5%, and 10% levels, respectively. p values are in the parenthesis
Source: Author’s compilations

variables are integrated at first difference and level. The more funds available and make sure the redistribution of
paper also employed the ARDL bound cointegration test the aggregate income is well done, thereby helping to
to investigate the long-run equilibrium relationship boost citizens’ entrepreneurial skills and economic activ-
among variables estimated. The bound test result con- ities. More so, regarding the globalization index, the
firmed the existence of a long-run equilibrium relation- findings suggest the need for the government to ensure
ship between globalization, urbanization, agricultural more regulation on the removal of barriers to interna-
land, economic growth, population density, and defores- tional trade. The study further recommends the initiation
tation. More so, the findings affirmed that urbanization of relevant policies in the agricultural sector, since it
and economic growth significantly increased the defor- was found from the result that agriculture contributes
estation rate, while population density reduces the de- to deforestation in Burkina Faso. Finally, instead of
forestation rate in the short run. providing more land for activities that degrade the en-
The long-run result, however, affirmed that globaliza- vironment, the government should invest in
tion, urbanization, and agricultural land significantly in- environment-friendly activities and technologies that
crease deforestation, indicating environmental degrada- can boost farmers’ profits.
tion. However, these findings inform the need for poli-
cies to be galvanized on urbanization and population to
control and maintain reasonable sustainable development Limitation and suggestion for further study
goals (SDG) and other strategies for development.
Furthermore, the direction of relationships was also ex- This study has some limitations. It suffered from data
plored via the Toda-Yamamoto (1995) Granger non- availability; some determinants of deforestation were not
causality approach. The results reveal a bidirectional added to the estimated model. Future researchers could
causal relationship between deforestation and urbaniza- focus more on this. Also, other studies can do a com-
tion, between globalization and agricultural land, and parative analysis between Burkina Faso and other coun-
between urbanization and population density. Finally, a tries. Future studies should also analyze the impact of
unidirectional causal relationship was also found run- the different dimensions of globalization on deforesta-
ning from urbanization to agricultural land at a 5% level tion to help countries achieve appropriate and sustain-
of statistical significance. able development.

Data availability Available from the corresponding author on reasonable


Policy recommendation request.

Given that this study’s findings strongly support the Compliance with ethical standards
need for policies that enhance urbanization and popula-
Conflict of interest The author declares that she has no conflict of
tion density control in the bid to reduce deforestation,
interest.
the paper suggests that initiating well-managed popula-
tion control and urbanization policies will have a strong Ethics approval and consent to participate Not applicable.
effect on reducing environmental degradation. Therefore,
the study recommends that the government should make Consent for publication Not applicable.
Appendix
Table 9 Main empirical results

Authors Country Period Model Dependent Globalization Economic Urbanization Energy Agricultural Population Institutional Financial
variable growth consumption land quality development

Defries et al. (2010) 41 countries 2000–2005 OLS Annual forest θ X Xb,d


loss
Culas (2012) Latin 1972–1994 FE and RE Deforestation θ θ θc
America,
Africa,
and Asian
countries
Environ Sci Pollut Res (2021) 28:22011–22021

Ahmed et al. (2014) Pakistan 1980–2013 ARDL Deforestation θa X X X


Ahmad et al. (2018) Pakistan 1994–2016 Analytical analysis Deforestation X X
Leblois et al. (2017) Developing 2001–2010 OLS, FE, RE, and Deforestation X X X X X
countries GMM
a
Abbasi et al. (2020) Asian-8 1982–2017 FMOLS CO2 X X X X X
countries
Zambrano-Monserrate 5 European 1974–2013 ARDL Deforestation X Xb
et al. (2018) countries
Nathaniel and Bekun Nigeria 1971–2015 ARDL Deforestation θa X X X X
(2019)
Maji et al. (2017) Nigeria 1981–2011 ARDL Deforestation θ X
Combes et al. (2018) Developing 2001–2012 GMM Deforestation X X X
countries
Maji (2015) Nigeria 1981–2011 ARDL Deforestation θa θ X
Enaruvbe and Atafo Nigeria 1987, 2002, Primary analysis Deforestation X X
(2014) and 2013

OLS, ordinary least squares; FGLS, feasible weighted least squares; FMOLS, fully modified OLS; FE, fixed-effects model; RE, random-effects model; GMM, generalized method of moments; ARDL,
autoregressive distributive lag
X, the variable was found to have a significant role in deforestation
θ, the variable was found to have a significant role in environmental improvement
a
Trade openness
b
Agricultural exports
c
Debt
d
Agricultural trade per capita
22019
22020 Environ Sci Pollut Res (2021) 28:22011–22021

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