Long-run dynamics of renewable energy consumption on carbon emissions and economic growth in the European union

2018 ◽  
Vol 26 (1) ◽  
pp. 69-78 ◽  
Author(s):  
J. W. Lee
Keyword(s):  
Economic Growth ◽  
European Union ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
The European Union ◽  
Renewable Energy Consumption ◽  
Long Run

scholarly journals Dynamic linkages between renewable energy, carbon emissions and economic growth through nonlinear ARDL approach: Evidence from Iran

PLoS ONE ◽  
2021 ◽  
Vol 16 (7) ◽  
pp. e0253464
Author(s):  
M. S. Karimi ◽  
S. Ahmad ◽  
H. Karamelikli ◽  
D. T. Dinç ◽  
Y. A. Khan ◽  
...  
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Gdp Per Capita ◽  
Bounds Testing ◽  
Renewable Energy Consumption ◽  
Economic Implications ◽  
Long Run ◽  
Per Capita

This study examines the relationship between economic growth, renewable energy consumption, and carbon emissions in Iran between 1975–2017, and the bounds testing approach to cointegration and the asymmetric method was used in this study. The results reveal that in the long run increase in renewable energy consumption and CO2 emissions causes an increase in real GDP per capita. Meanwhile, the decrease in renewable energy has the same effect, but GDP per capita reacts more strongly to the rise in renewable energy than the decline. Besides, in the long run, a reduction of CO2 emissions has an insignificant impact on GDP per capita. Furthermore, the results from asymmetric tests suggest that reducing CO2 emissions and renewable energy consumption do not have an essential role in decreasing growth in the short run. In contrast, an increase in renewable energy consumption and CO2 emissions do contribute to boosting the growth. These results may be attributable to the less renewable energy in the energy portfolio of Iran. Additionally, the coefficients on capital and labor are statistically significant, and we discuss the economic implications of the results and propose specific policy recommendations.

scholarly journals How does renewable energy consumption affect economic growth? Evidence from the European Union countries

2021 ◽  
Vol 129 ◽  
pp. 09005
Author(s):  
Natalia Davidson ◽  
Elizaveta Maksimova ◽  
Oleg Mariev
Keyword(s):  
Economic Growth ◽  
European Union ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Generalized Method Of Moments ◽  
Green Energy ◽  
The European Union ◽  
Renewable Energy Consumption ◽  
Eu Countries ◽  
The Impact

Research background: Fossil fuels are used at such a high rate that they are currently being depleted. Moreover, they are associated with a greenhouse effect leading to global warming. Meanwhile, green energy is naturally replenished and fosters sustainable development (Nelson and Starcher, 2015). However, the empirical evidence of the impact of green energy on economic growth is controversial (Adewuyi and Awodumi, 2017; Chen et al., 2020; Destek and Aslan, 2017; Zafar et al., 2018). Purpose of the article: This paper analyses the impact of renewable energy consumption on economic growth in the European Union (EU) countries. This is important in line with the goals of EU to shift towards green energy during the coming years (Directive (EU) 2018/2001). Methods: We use data of the World Bank and Our World in Data over 1990 to 2015 for 28 EU countries. We estimate the impact of renewable energy consumption on the countries’ gross domestic product. The control variables are labor force, research and development, and foreign direct investment. We apply the pooled mean group, mean group, the dynamic fixed effect estimators (Pesaran, 1997; Pesaran et al., 1999), and generalized method of moments (Arellano & Bond, 1991). Findings & Value added: Results show that the renewable energy consumption positively affects economic growth of the EU countries. We contribute by shedding light on the possibility to develop renewable energy, while achieving economic growth. The results have important implications for economic policy.

scholarly journals CO2 Emissions, Energy Consumption, and Economic Growth: New Evidence in the ASEAN Countries

2019 ◽  
Vol 12 (3) ◽  
pp. 145 ◽  
Author(s):  
Vo ◽  
Vo ◽  
Le
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Granger Causality ◽  
Co2 Emissions ◽  
Causal Effect ◽  
The Philippines ◽  
Policy Implications ◽  
Renewable Energy Consumption ◽  
Long Run

The members of the Association of Southeast Asian Nations (ASEAN) have made several attempts to adopt renewable energy targets given the economic, energy-related, environmental challenges faced by the governments, policy makers, and stakeholders. However, previous studies have focused limited attention on the role of renewable energy when testing the dynamic link between CO2 emissions, energy consumption and renewable energy consumption. As such, this study is conducted to test a common hypothesis regarding a long-run environmental Kuznets curve (EKC). The paper also investigates the causal link between carbon dioxide (CO2) emissions, energy consumption, renewable energy, population growth, and economic growth for countries in the region. Using various time-series econometrics approaches, our analysis covers five ASEAN members (including Indonesia, Myanmar, Malaysia, the Philippines, and Thailand) for the 1971–2014 period where required data are available. Our results reveal no long-run relationship among the variables of interest in the Philippines and Thailand, but a relationship does exist in Indonesia, Myanmar, and Malaysia. The EKC hypothesis is observed in Myanmar but not in Indonesia and Malaysia. Also, Granger causality among these important variables varies considerably across the selected countries. No Granger causality among carbon emissions, energy consumption, and renewable energy consumption is reported in Malaysia, the Philippines, and Thailand. Indonesia experiences a unidirectional causal effect from economic growth to renewable energy consumption in both short and long run and from economic growth to CO2 emissions and energy consumption. Interestingly, only Myanmar has a unidirectional effect from GDP growth, energy consumption, and population to the adoption of renewable energy. Policy implications have emerged based on the findings achieved from this study for each country in the ASEAN region.

scholarly journals Do High Oil Prices Obstruct the Transition to Renewable Energy Consumption?

2020 ◽  
Vol 12 (11) ◽  
pp. 4689 ◽  
Author(s):  
Shahriyar Mukhtarov ◽  
Jeyhun I. Mikayilov ◽  
Sugra Humbatova ◽  
Vugar Muradov
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Negative Impact ◽  
Oil Prices ◽  
Oil Price ◽  
Renewable Energy Consumption ◽  
Long Run ◽  
Carbon Dioxide Co2 ◽  
The Impact

The study analyzes the impact of economic growth, carbon dioxide (CO2) emissions, and oil price on renewable energy consumption in Azerbaijan for the data spanning from 1992 to 2015, utilizing structural time series modeling approach. Estimation results reveal that there is a long-run positive and statistically significant effect of economic growth on renewable energy consumption and a negative impact of oil price in the case of Azerbaijan, for the studied period. The negative impact of oil price on renewable energy consumption can be seen as an indication of comfort brought by the environment of higher oil prices, which delays the transition from conventional energy sources to renewable energy consumption for the studied country case. Also, we find that the effect of CO2 on renewable energy consumption is negative but statistically insignificant. The results of this article might be beneficial for policymakers and support the current literature for further research for oil-rich developing countries.

Renewable and non-renewable energy consumption and economic growth in the US: A Markov-Switching VAR analysis

2020 ◽  
pp. 0958305X2094403
Author(s):  
Emrah Ismail Cevik ◽  
Durmuş Çağrı Yıldırım ◽  
Sel Dibooglu
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Energy Demand ◽  
Fossil Fuels ◽  
The United States ◽  
Renewable Energy Consumption ◽  
Causality Test ◽  
Long Run ◽  
The Us

We examine the relationship between renewable and non-renewable energy consumption and economic growth in the United States. While the regime-dependent Granger causality test results for the non-renewable energy consumption and economic growth suggest bi-directional causality in both regimes, we cannot validate any causality between renewable energy consumption and economic growth. The US meets its energy demand from non-renewable sources; as such, renewable energy consumption does not seem to affect economic growth. Given the efficiency and productivity of renewable energy investments, we conclude that it is worthwhile to consider renewable energy inputs to replace fossil fuels given potential benefits in terms of global warming and climate change concerns. In this regard, increasing the R&D investments in the renewable energy sectors, increases in productivity and profitability of renewable energy investments are likely to accrue benefits in the long run.

scholarly journals Incorporating Environmental Pollution and Human Development in the Energy-Growth Nexus: A Novel Long Run Investigation for Pakistan

2020 ◽  
Vol 17 (14) ◽  
pp. 5154 ◽  
Author(s):  
Nabila Abid ◽  
Jianzu Wu ◽  
Fayyaz Ahmad ◽  
Muhammad Umar Draz ◽  
Abbas Ali Chandio ◽  
...  
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Human Development ◽  
Environmental Sustainability ◽  
Human Development Index ◽  
Renewable Energy Sources ◽  
Energy Sources ◽  
Renewable Energy Consumption ◽  
Long Run

Energy acts as a catalyst to boost the human development index (HDI) in a country. However, the overuse of energy leads to environmental deterioration, which is a byproduct of economic development. Due to the utilization of non-renewable energy sources for a long time, worldwide environmental conditions have become alarming. This study investigates the relationship between renewable and non-renewable energy consumption, economic growth, environmental sustainability, and the human development index (HDI) in Pakistan. The investigation incorporates population growth and technology variables to form a multivariate framework. We use a fully modified ordinary least squares (FMOLS) approach to time-series data from 1990–2017. To check the robustness of estimations, we apply the Gregory–Hansen test with a causality test under the VECM to confirm this association’s directions. Our findings confirm that non-renewable energy sources have a positive association with economic growth and CO2 emissions. However, human development, technology, and renewable energy boost economic development and reduce environmental pollution in Pakistan. The co-integration results confirmed the long run connectivity among all variables. The causality outcomes support the bidirectional causality between renewable and non-renewable energy consumption, economic growth, and CO2 emissions, both in the short and long run. These outcomes suggest that Pakistan should focus on energy shifts and gradually increase the share of renewables in its energy mix under the China Pakistan Economic Corridor (CPEC). Additionally, the government should increase human and technological development to enhance economic and environmental sustainability.

Does Temperature Contribute to Environment Degradation? Pakistani Experience Based on Nonlinear Bounds Testing Approach

2020 ◽  
pp. 097215092091665 ◽  
Author(s):  
Muhammad Saeed Meo ◽  
Solomon Prince Nathaniel ◽  
Muhammad Murtaza Khan ◽  
Qasim Ali Nisar ◽  
Tehreem Fatima
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Energy Use ◽  
Global Climate ◽  
Bounds Testing ◽  
Renewable Energy Consumption ◽  
Global Climate Changes ◽  
Long Run ◽  
Short Run

Many developing countries are acutely vulnerable to global climate changes. In Pakistan, carbon emissions are primarily contributed by the factor of energy production from oil, gas and coal. The objective of this study is to estimate the asymmetric impact of temperature, energy use, economic growth, water scarcity on CO2 emissions in Pakistan over their period of 1960–2016. Based on nonlinear bounds testing (NARDL) approach, it is confirmed that there is an asymmetric relationship between temperature and CO2 emission, while energy use, population growth and economic growth have a positive effect in the short run. In the long run, energy consumption and economic growth were found to increase emission, while a temperature decrease by 1 per cent leads to 5 per cent decrease in carbon emissions. Population and water availability also reduces emission in Pakistan. Further, the study also confirms the long-run relationship between the variables. The finding of the study noticeably supports the policy to increase renewable energy consumption.

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