ABSTRACT. This study examines how GDP, renewable energy, population, and industrialization affect ecological footprints in six Balkan nations from 1990 to 2022. The six Balkan countries are Albania, Bulgaria, Greece, Croatia, Romania, and Slovenia. The research applied the normality test, unit roots, and cointegration tests to conduct stationary testing. The study used three econometric tools: Pooled-OLS, Fixed-OLS, and D-GMM methods to get robust results. Findings show that GDP and squared coefficients support EKC. This means that the ecological footprint initially rises because of the rise in GDP; after specific points, the ecological footprint declines. Balkan countries fit the reversed U-shaped EKC hypothesis after achieving economic development. Surprisingly, renewable energy shows a positive coefficient, challenging the anticipated positive environmental impact. This underscores the necessity for comprehensive assessments of renewable technologies to minimize unintended consequences. Similarly, fossil fuel consumption exhibits a positive coefficient, affirming its detrimental impact on ecological resilience. While contributing to economic growth, industrialization demonstrates a positive coefficient on environmental resilience, suggesting the need for sustainable industrial practices. Furthermore, the population displays a negative coefficient, affirming its potential role in curbing ecological vulnerability and emphasizing the significance of responsible demographic management.
JEL codes: O13; Q56; Q57

Keywords: ecological footprint; panel data; STIRPAT model; GMM; Balkan countries

How to cite: Popescu, G. H., Poliak, M., Ćurčić, N., Kaya, M. G., Dumitrescu, C-O., and Saremi, M. (2024). “Dynamics of Industrialization, Energy Transition, Population, and Ecological Footprint: Energy, Sustainability, and Environment in Balkan Countries,” Economics, Management, and Financial Markets 19(3): 76–92. doi: 10.22381/emfm19320244.

Received 22 June 2024 • Received in revised form 26 September 2024
Accepted 27 September 2024 • Available online 30 September 2024