scholarly journals The Role of Economic Policy Uncertainty in Renewable Energy-Growth Nexus: Evidence From the Rossi-Wang Causality Test

2021 ◽  
Vol 9 ◽  
Author(s):  
Zhou Lu ◽  
Linchuang Zhu ◽  
Chi Keung Marco Lau ◽  
Aliyu Buhari Isah ◽  
Xiaoxian Zhu
Keyword(s):  
United States ◽  
Economic Growth ◽  
Economic Policy ◽  
Renewable Energy ◽  
Causal Relationship ◽  
The United States ◽  
Policy Uncertainty ◽  
Causality Test ◽  
Energy Growth

This paper examines the causal relationship between renewable energy consumption and economic growth in four countries: Brazil, Germany, Japan, and the United States. Unlike previous papers, we control economic policy uncertainty’s effects to capture the role of capabilities on the renewable energy-growth nexus. The recent Vector Autoregression (VAR)-based Granger-causality test of Rossi-Wang shows a bidirectional causal relationship between renewable energy and the economic growth in Brazil and Germany. There is also a significant causality from renewables to economic growth in the United States.

Geopolitical risk, economic growth, economic uncertainty and international inbound tourism: an Indian Illustration

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sudeshna Ghosh
Keyword(s):  
Economic Growth ◽  
Economic Policy ◽  
Trade Openness ◽  
Policy Uncertainty ◽  
Tourism Demand ◽  
Content Type ◽  
Economic Policy Uncertainty ◽  
Long Run ◽  
Geopolitical Risks

Purpose This paper aims to consider the role of geopolitical risk in explaining tourism demand in India, a major tourist destination of the Asian region. Furthermore, the study also considers how in addition to geopolitical risk, economic policy uncertainty, economic growth, exchange rate, inflation and trade openness impact tourism demand. Design/methodology/approach The Bayer and Hanck (2013) method of cointegration is applied to explore the relationship between geopolitical risk and tourism demand. Furthermore, the study has also used the auto distributed lag model to determine whether there is a long-run cointegrating association between tourism demand, geopolitical risk, economic policy uncertainty, economic growth, exchange rate and trade openness. Finally, the vector error correction model confirms the direction of causality across the set of the major variables. Findings This paper finds that geopolitical risk adversely impacts inbound international travel to India. This study also obtains the consistency of the results across different estimation techniques controlling for important macro variables. The Granger causality test confirms the unidirectional causality from geopolitical risk to tourism and further from economic uncertainty to tourism. The findings from the study confirm that geopolitical risks have long-term repercussions on the tourism sector in India. The results indicate that there is an urgent need to develop a pre-crisis management plan to protect the aura of Indian tourism. The tourism business houses should develop skilful marketing strategies in the post-crisis to boost the confidence of the tourists. Research limitations/implications This paper provides valuable practical implications to tourism business houses. The tourism business houses can explore geopolitical risk measure and economic policy uncertainty measure to analyse the demand for international tourism in India. Further, the major stakeholders can establish platforms to help tourists to overcome the fear associated with geopolitical risk. Originality/value This study is the first of its kind to explore the geopolitical risks and their long-run consequences in the context of tourism in India. The study puts emphasis on the role of national policy to maintain peace otherwise it would be detrimental to tourism.

Economic Policy

2019 ◽  
pp. 173-195
Author(s):  
William Keech ◽  
William Scarth
Keyword(s):  
United States ◽  
Economic Growth ◽  
Economic Policy ◽  
Fiscal Policy ◽  
Income Distribution ◽  
Political Institutions ◽  
Productivity Growth ◽  
The United States ◽  
Economic Policies ◽  
Sustainable Fiscal Policy

This chapter identifies the differing policies and outcomes that Canadians and Americans have pursued with respect to economic growth, stabilization, and income distribution, and it analyzes several factors that can partially explain why divergent policy choices have emerged. The United States (U.S.) has recorded better productivity growth, while Canada has achieved a more sustainable fiscal policy, a less fragile financial sector, and more generous distributional policies. These contrasting outcomes are related to differences in size and geography, in political culture, and in political institutions. The analysis also considers how much it may be possible for each country’s policymakers to benefit from the other’s experiences. While identifying some lessons in this regard, the authors conclude that the sheer difference in the size of the two economies affects which economic policies can be expected to be effective. As a result, it is concluded that convergence in economic policymaking will remain somewhat limited.

scholarly journals Does Economic Policy Uncertainty Affect CO2 Emissions? Empirical Evidence from the United States

2020 ◽  
Vol 12 (21) ◽  
pp. 9108 ◽  
Author(s):  
Qing Wang ◽  
Kefeng Xiao ◽  
Zhou Lu
Keyword(s):  
United States ◽  
Economic Policy ◽  
Co2 Emissions ◽  
Structural Breaks ◽  
Unit Root Test ◽  
The United States ◽  
Policy Uncertainty ◽  
Energy Prices ◽  
Economic Policy Uncertainty ◽  
Long Run

This paper aims to examine the effects of economic policy uncertainty (measured by the World Uncertainty Index—WUI) on the level of CO2 emissions in the United States for the period from 1960 to 2016. For this purpose, we consider the unit root test with structural breaks and the autoregressive-distributed lag (ARDL) model. We find that the per capita income promotes CO2 emissions in the long run. Similarly, the WUI measures are positively associated with CO2 emissions in the long run. Energy prices negatively affect CO2 emissions both in the short run and the long run. Possible implications of climate change are also discussed.

Assessing the Role of Environmental and Regulatory Issues on Offshore Renewable Energy Projects in the United States

2009 ◽  
Author(s):  
William H. Daughdrill
Keyword(s):  
United States ◽  
Renewable Energy ◽  
Environmental Impact ◽  
Social Issues ◽  
The United States ◽  
Environmental Impact Statement ◽  
Regulatory Issues ◽  
Energy Projects ◽  
The U.S

This paper will describe some of the key environmental and regulatory issues affecting development of offshore renewable energy projects in the United States. Offshore wind, wave, tidal current, and ocean thermal energy conversion (OTEC) projects all have unique environmental and social issues that must be addressed to the satisfaction of federal, state, and local authorities. This paper examines the existing federal regulatory schemes applicable to offshore renewable energy development in the United States including a discussion of an on-going jurisdictional debate between agencies at the U.S. federal government level. The various permitting processes for offshore renewable energy projects all involve an examination of the potential environmental and social/human effects of each proposed project. Typically, the agency with primary permitting authority must prepare an environmental impact statement (EIS) or equivalent document that includes a transparent process that encourages the participation of the interested public and other affected stakeholders. While acknowledging the importance of social/human impact issues, this paper will focus primarily on the potential physical and biological effects from offshore renewable energy projects including a discussion of the uncertainty that surrounds predicting the impact of new or innovative technologies. The U.S. Department of Interior, Minerals Management Service (MMS) recently published a programmatic environmental impact statement (EIS) that includes 52 “best management practices” for reducing environmental and social impacts from offshore alternative energy projects. Finally the paper will examine the important role of environmental monitoring and adaptive management in informing regulators and developers of potential adverse impacts and adapting project design and operations to avoid or minimize these effects.

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.

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