scholarly journals Energy Mix, Financial Development and Carbon Emissions in China: A Directed Technical Change Perspective

2021 ◽  
Author(s):  
shujie yao ◽  
Shuai Zhang
Keyword(s):  
Energy Consumption ◽  
Financial Development ◽  
Carbon Emissions ◽  
Technical Change ◽  
Policy Implication ◽  
Substitution Effect ◽  
Clean Energy ◽  
Income Effects ◽  
Directed Technical Change ◽  
The Relationship

Abstract Based on a two-sector (clean energy and dirty energy) model of directed technical change, we examine the relationship between carbon emissions, clean energy consumption and financial development in China using the ARDL method. Clean energy consumption reduces carbon emissions effectively but the effect of financial development is opposite, suggesting that financial development increases carbon emissions, contradicting the findings of many existing studies. Then, we decompose financial sector development on carbon emissions into two different effects: the substitution and income effects. The substitution effect reflects more dirty energy consumption as a result of directed technical change promoted by financial development, leading to more carbon emissions. In contrast, the income effect results in a decline of carbon emissions because financial development enables firms to use more clean energy. The empirical results indicate that the net effect of financial development has caused more carbon emissions. The policy implication is also discussed.JEL: Q01, Q42, Q56

Study on the Relationship between Energy Consumption, Carbon Emission and Economic Growth in China

2013 ◽  
Vol 869-870 ◽  
pp. 746-749
Author(s):  
Tian Tian Jin ◽  
Jin Suo Zhang
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Carbon Emission ◽  
Energy Structure ◽  
Ardl Model ◽  
Relationship Of ◽  
The Relationship ◽  
Reducing Energy

Abstract. Based on ARDL model, this paper discussed the relationship of energy consumption, carbon emission and economic growth.The results indicated that the key to reduce carbon emissions lies in reducing energy consumption, optimizing energy structure.

scholarly journals Low-carbon development via greening global value chains: a case study of Belarus

2020 ◽  
Vol 476 (2239) ◽  
pp. 20200024
Author(s):  
Huiqing Wang ◽  
Yixin Hu ◽  
Heran Zheng ◽  
Yuli Shan ◽  
Song Qing ◽  
...  
Keyword(s):  
International Trade ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Clean Energy ◽  
Global Value Chains ◽  
Value Chains ◽  
Energy Structure ◽  
Low Carbon ◽  
Low Carbon Development ◽  
Plastic Products

The rise of global value chains (GCVs) has seen the transfer of carbon emissions embodied in every step of international trade. Building a coordinated, inclusive and green GCV can be an effective and efficient way to achieve carbon emissions mitigation targets for countries that participate highly in GCVs. In this paper, we first describe the energy consumption as well as the territorial and consumption-based carbon emissions of Belarus and its regions from 2010 to 2017. The results show that Belarus has a relatively clean energy structure with 75% of Belarus' energy consumption coming from imported natural gas. The ‘chemical, rubber and plastic products' sector has expanded significantly over the past few years; its territorial-based emissions increased 10-fold from 2011 to 2014, with the ‘food processing' sector displaying the largest increase in consumption-based emissions. An analysis of regional emissions accounts shows that there is significant regional heterogeneity in Belarus with Mogilev, Gomel and Vitebsk having more energy-intensive manufacturing industries. We then analysed the changes in Belarus' international trade as well as its emission impacts. The results show that Belarus has changed from a net carbon exporter in 2011 to a net carbon importer in 2014. Countries along the Belt and Road Initiative, such as Russia, China, Ukraine, Poland and Kazakhstan, are the main trading partners and carbon emission importers/exporters for Belarus. ‘Construction’ and ‘chemical, rubber and plastic products' are two major emission-importing sectors in Belarus, while ‘electricity' and ‘ferrous metals' are the primary emission-exporting sectors. Possible low-carbon development pathways are discussed for Belarus through the perspectives of global supply and the value chain.

scholarly journals ISLAMIC FINANCIAL DEVELOPMENT IMPACT ON ENERGY INTENSITY: EVIDENCE FROM ISLAMIC BANKS

2021 ◽  
Vol 7 (4) ◽  
Author(s):  
Abdul-Jalil Ibrahim ◽  
Nasim S. Shirazi ◽  
Amin Mohseni-Cheraghlou
Keyword(s):  
Financial Development ◽  
Fixed Effects ◽  
Energy Use ◽  
Energy Intensity ◽  
Empirical Studies ◽  
Clean Energy ◽  
Islamic Banks ◽  
Energy Technologies ◽  
Banking Development ◽  
The Relationship

The relationship between financial development and energy intensity is yet firmly established as the literature is emerging, and the few empirical studies that have been done provide conflicting results. Whereas some conclude a U-shaped relationship between financial development and energy intensity, others show a linear relationship between the two variables.  This study investigates the relationship between financial development and energy intensity by focusing on the role of Islamic financial development. The study covers 30 countries where Islamic banks are present.  Using the  fixed-effects panel model, the empirical results suggest that Islamic banking development significantly increases energy intensity in the sample countries. We also identify other important factors that increase energy intensity.  These include carbon emissions, renewable energy use and energy imports. The findings point to the importance of designing policies to incentivize Islamic banks and Shari'ah-compliant investors to finance clean energy technologies as a potent tool for reducing energy intensity, achieving sustainable development, and greening Islamic finance.

scholarly journals The Nexus Between Financial Development and Renewable Energy Consumption: A Review For Emerging Countries

2021 ◽  
Author(s):  
OGUZ SAYGIN ◽  
Ömer İskenderoğlu
Keyword(s):  
Renewable Energy ◽  
Energy Consumption ◽  
Stock Market ◽  
Financial Development ◽  
Emerging Countries ◽  
Research Field ◽  
Renewable Energy Consumption ◽  
Annual Frequency ◽  
Market Variables ◽  
The Relationship

Abstract The relationship between financial development and energy consumption is the most frequently research field in finance and economy. The main objective of carrying out this study is to answer that is there a relationship between financial development and renewable energy consumption in emerging countries? In many studies carried out in international literature, the empirical findings were pointing to the existence of this relationship. In order to examine the relationship between financial development and renewable energy consumption, a total of 20 emerging countries, benefited from annual frequency data between 1990 and 2015. The system GMM estimation was used as the method of study. As a result of the analysis performed indicates that financial development does not impact renewable energy consumption in emerging countries when financial development is measured using both banking and stock market variables. Additionally, it can be said that the financial development increases renewable energy consumption if it is measured by only stock market capitalization.

scholarly journals Energy–Growth Nexus in the MENA Region: A Dynamic Panel Threshold Estimation

2021 ◽  
Vol 13 (22) ◽  
pp. 12444
Author(s):  
Qusai Mohammad Qasim Alabed ◽  
Fathin Faizah Said ◽  
Zulkefly Abdul Karim ◽  
Mohd Azlan Shah Zaidi ◽  
Mohammed Daher Alshammary
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Co2 Emissions ◽  
Threshold Model ◽  
Clean Energy ◽  
High Energy ◽  
Mena Region ◽  
Dynamic Panel ◽  
Energy Growth ◽  
The Relationship

This study provides new evidence regarding the nonlinear relationship between energy consumption and economic growth in the Middle East and North Africa (MENA) region for the 1990–2014 period. The empirical estimation is conducted using a dynamic panel threshold model. We found one threshold in the relationship between energy consumption and economic growth and one threshold in the relationship between carbon dioxide (CO2) emissions and economic growth. The results indicate that energy consumption positively and significantly affects economic growth in the low energy consumption regime. In contrast, it has a negative and significant impact on economic growth in the high energy consumption regime. Moreover, CO2 emissions are positively and significantly related to economic growth in the low regime of CO2 emissions. Nevertheless, the relationship between CO2 emissions and economic growth in the high CO2 emissions regime is negative and significant. Therefore, policymakers should implement other effective energy policies, such as stricter regulations on CO2 emissions, increase energy efficiency, and replace fossil fuels with cleaner energy sources to avoid unnecessary CO2 emissions and combat global warming. Future studies should identify the root causes of failures and issues in real time for inflation and link the energy–growth nexus to achieving the 2030 Sustainable Development Goals (SDGs) Agenda, Goal 7: Affordable and Clean Energy.

scholarly journals GREEN TRANSITIONS AND THE PREVENTION OF ENVIRONMENTAL DISASTERS: MARKET-BASED VS. COMMAND-AND-CONTROL POLICIES

2019 ◽  
Vol 24 (7) ◽  
pp. 1861-1880 ◽  
Author(s):  
Francesco Lamperti ◽  
Mauro Napoletano ◽  
Andrea Roventini
Keyword(s):  
Technical Change ◽  
Path Dependence ◽  
Command And Control ◽  
Empirical Support ◽  
Clean Energy ◽  
Carbon Taxes ◽  
Directed Technical Change ◽  
Environmental Disasters ◽  
Climate Policies ◽  
And Control

The paper compares the effects of market-based (M-B) and command-and-control (C&C) climate policies on the direction of technical change and the prevention of environmental disasters. Drawing on a model of endogenous growth and directed technical change, we show that M-B policies (carbon taxes and subsidies toward clean sectors) suffer from path dependence and exhibit bounded window of opportunities: delays in their implementation make them ineffective both in redirecting technical change, (i.e. triggering a transition toward clean energy) and in avoiding environmental catastrophes. On the contrary, we find that C&C interventions are favored by path dependence and guarantee policy effectiveness irrespectively of the timing of their introduction. As the hypothesis of path dependence in technological change has received vast empirical support and it is a key feature of many models of growth, we argue that C&C policies should be seen as a valuable and non-equivalent alternative to M-B interventions.

Carbon emissions, economic growth and trade: Empirical evidence from trading nations

2021 ◽  
Vol 20 (1) ◽  
pp. 61-78 ◽  
Author(s):  
Areej Aftab Siddiqui ◽  
Silky Vigg Kushwah
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Empirical Relationship ◽  
Clean Energy ◽  
Developed Countries ◽  
Incentive Structure ◽  
Newly Industrialized Countries ◽  
Country Level ◽  
Long Run

The article aims to develop an integrated relationship between carbon emissions, energy consumption, economic growth and trade for the top ten trading countries in the world for a period of nineteen years, 2000–2018. The results of panel data indicate a significant relationship between carbon emissions, energy consumption, economic growth and trade both in the short and long run. It is seen that a bidirectional causality between carbon emissions, trade and growth is present. Empirical results of the analysis in this article indicate that an increase in carbon emissions leads to an increase in the economic growth rate. The article also finds a positive relationship between carbon emissions and energy consumption. The findings also show that the emerging and newly industrialized countries place more emphasis on enhancing their trade positions, while developed countries tend to focus more on the overall economic growth than on trade. A major limitation of the study is that the data for energy consumption and carbon emissions is for the economy as a whole and not only for manufacturing. An incentive structure for reducing carbon emissions for the selected countries can be adopted along with the focus on adopting clean energy. The article’s findings add to the existing literature as comparatively few studies have been conducted with trade as an indicator and at the cross-country level for determining the empirical relationship between energy consumption, carbon emissions, growth and trade.

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