University of Tabriz Applied Theories of Economics 2423-6586 11 4 2025 02 19 Analyzing the Asymmetric Effect of Income per Capita, Capital Inflow, and Oil Price on CO2 Emission in IRAN: NARDL Approach Analyzing the Asymmetric Effect of Income per Capita, Capital Inflow, and Oil Price on CO2 Emission in IRAN: NARDL Approach 137 154 19476 10.22034/ecoj.2025.63212.3343 FA SeyedKamal Sadeghi Professor of Economics, Economic Development and Planning Group, Faculty of Economics and management, University of Tabriz, Tabriz, Iran Haidar Hamid Rashid Aj Aj Phd student in Economics, University of Tabriz Journal Article 2024 08 29 This study examines the asymmetric effects of per capita income, oil prices, industrial value added, and foreign direct investment on CO2 emissions in Iran through a non-linear distributed lag autoregression model (NARDL) from 1989 to 2023. This study also discusses the pollution safe haven hypothesis and the Kuznets U-shaped curve simultaneously and asymmetrically for Iran. Based on the results of this study, only the per capita income variable has a linear relationship with CO2 emissions, while the other variables have a non-linear relationship. The model results showed that OPEC oil prices have an inverse relationship with pollution emissions only in positive shocks. For the foreign investment variable, only a negative shock positively affects pollution emissions, which indicates that Iran is not a pollution-safe haven for other countries. Also, industrial value added only has a positive effect on positive shocks. On the other hand, per capita income has a negative effect on pollution emissions. Finally, this study's findings showed that the U-shaped Kuznets curve is not true for Iran This study examines the asymmetric effects of per capita income, oil prices, industrial value added, and foreign direct investment on CO2 emissions in Iran through a non-linear distributed lag autoregression model (NARDL) from 1989 to 2023. This study also discusses the pollution safe haven hypothesis and the Kuznets U-shaped curve simultaneously and asymmetrically for Iran. Based on the results of this study, only the per capita income variable has a linear relationship with CO2 emissions, while the other variables have a non-linear relationship. The model results showed that OPEC oil prices have an inverse relationship with pollution emissions only in positive shocks. For the foreign investment variable, only a negative shock positively affects pollution emissions, which indicates that Iran is not a pollution-safe haven for other countries. Also, industrial value added only has a positive effect on positive shocks. On the other hand, per capita income has a negative effect on pollution emissions. Finally, this study's findings showed that the U-shaped Kuznets curve is not true for Iran https://ecoj.tabrizu.ac.ir/article_19476_07ceeab4a4041875bb87e23116e621bd.pdf