Abstract: Positive economic growth rates reflect economic boom in a period of time whereas negative economic growth rates reflect economic recession. Improving business environment results in an increase in economic growth as well as efficiency through increased production, employment, etc. The environment is considered as a key element in sustainable development. In recent decades, the importance of the environment has gradually increased and environmental quality has gained a considerable importance so that alongside the growth and development of communities, the quality of the environment has become more significant. The aim of this study was to evaluate the effect of economic indicators of business on the quality of the environment in Iran during the years, 1981-2014, using Bayesian Causal Map (BCM) in five scenarios. The impact of changes in economic variables on the rate of growth of CO2 emissions was done with the use of one-way sensitivity analysis and it was found that among from the four indicators, business, private credit, taxes and then energy consumption and ultimately private sector investment had the highest impact on CO2 emissions. Also, the results of the five scenarios show that after the change in the probability conditions, CO2 emission is more likely to happen.
Mojtaba Abbasian, Javad Shahraki, Ahmad Akbari and Javad Harati, 2016. Business Activity and Environmental Quality in Iran. Research Journal of Applied Sciences, 11: 121-133.