scholarly journals Threshold Effect of Economic Growth on Energy Intensity—Evidence from 21 Developed Countries

Energies ◽  
2021 ◽  
Vol 14 (14) ◽  
pp. 4199
Author(s):  
Jinjin Zhou ◽  
Zenglin Ma ◽  
Taoyuan Wei ◽  
Chang Li
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Urban Population ◽  
Energy Intensity ◽  
Developed Countries ◽  
Renewable Energy Consumption ◽  
Tertiary Industry ◽  
D Investment ◽  
Threshold Point

Based on threshold regression models, this paper analyzes the effect of economic growth on energy intensity by using panel data from 21 developed countries from 1996 to 2015. Results show that a 1% increase in GDP per capita can lead to a 0.62–0.78% reduction in energy intensity, implying economic growth can significantly reduce energy intensity. The extent of the reduction in energy intensity varies depending on the economic development stages represented by key influencing factors including energy mix in consumption, urbanization, industrial structure, and technological progress. Specifically, the reduction in energy intensity due to economic growth can be enhanced with relatively more renewable energy consumption and more urban population until a threshold point, where the enhancement disappears. On the other hand, the extent of the energy intensity reduction due to economic growth can be weakened with relatively more tertiary industry activities and more research and development (R&D) investment in an economy until a threshold point, where the weakening cannot continue. However, compared to the early stages represented by the low ends of renewable energy consumption, urban population, tertiary industry activities, and R&D investment, the later stages represented by the high ends of these key factors after a threshold show the weakened effect of economic growth on the decline of energy intensity. Hence, when an economy is well-developed, policy makers are advised to put fewer expectations on the role of economic growth to reduce energy intensity, while pursuing relatively cleaner energy, greater urbanization, more tertiary industry activities, and advanced technologies.

Energy intensity, carbon emissions, renewable energy, and economic growth nexus: New insights from Romania

2018 ◽  
Vol 30 (3) ◽  
pp. 427-443 ◽  
Author(s):  
Fırat Emir ◽  
Festus Victor Bekun
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Carbon Emissions ◽  
Energy Intensity ◽  
Energy Sources ◽  
Success Story ◽  
Renewable Energy Consumption ◽  
The Relationship ◽  
Growth Hypothesis

This study empirically examines the relationship between energy intensity, carbon emissions, renewable energy consumption, and economic growth for the case of Romania given the conflicting evidences in the literature between 1990 and 2014 on a quarterly basis. To this end, our study employs an autoregressive distributive lag (ARDL) model for cointegration, while direction of causality was achieved via the Toda–Yamamoto model. Empirical findings reveal cointegration among the variables under consideration. The causality results show feedback causality between energy intensity and economic growth while uni-directional causality is seen running from renewable energy consumption to economic growth. Thus, this study affirms the energy-led growth hypothesis. Therefore, our study corroborates with the current success story of Romania attaining her energy targets within two decades. However, there is need to sustain this milestone by further diversification of her energy portfolio into other cleaner energy sources.

scholarly journals The dynamics of CO2 emissions, energy consumption and economic development: Evidence from the top 28 greenhouse gas emitters

2021 ◽  
Author(s):  
Lei Jin ◽  
Yuan-hua Chang ◽  
Meng Wang ◽  
Xin-zhu Zheng ◽  
Jian-xun Yang ◽  
...  
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Causal Relationship ◽  
Carbon Emissions ◽  
Carbon Emission ◽  
Developed Countries ◽  
Renewable Energy Consumption ◽  
The Relationship

Abstract Previous studies have done more research on the relationship between carbon emission reduction, energy consumption and economic growth in specific countries or regions, which rarely consider the issue of heterogeneity between countries or regions, and also lack the refinement of energy consumption categories. Using panel data from 2000 to 2017,this paper divided the top 28 global carbon emission countries into developed countries and developing countries, and explores cointegration and causality between renewable energy consumption,non-renewable energy consumption, economic growth and carbon emission. Results suggested that there is a two-way causal relationship between carbon emissions and economic growth in all economies. There is a two-way causal relationshipbetween economic growth in developed countries and consumption of renewable and non-renewable energy, while there is no significant relationship between economic growth and energy consumption in developing countries. There is a two-way causal relationship between carbon emissions and renewable energyin all economies, but there are significant differences; there is a two-way causal relationship between carbon emissions in developed countries and non-renewable energy, and only one-way causality exists in developing countries.

scholarly journals Empirical Research on the Relationship amongst Renewable Energy Consumption, Economic Growth and Foreign Direct Investment in Kazakhstan and Uzbekistan

Energies ◽  
2021 ◽  
Vol 14 (2) ◽  
pp. 332
Author(s):  
Janusz Grabara ◽  
Arsen Tleppayev ◽  
Malika Dabylova ◽  
Leonardus W. W. Mihardjo ◽  
Zdzisława Dacko-Pikiewicz
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Direct Investment ◽  
Renewable Energy Sources ◽  
Energy Sources ◽  
Renewable Energy Consumption ◽  
Integration Test ◽  
The Relationship

In this contemporary era, environmental problems spread at different levels in all countries of the world. Economic growth does not just depend on prioritizing the environment or improving the environmental situation. If the foreign direct investment is directed to the polluting industries, they will increase pollution and damage the environment. The purpose of the study is to consider the relationship between foreign direct investment in Kazakhstan and Uzbekistan and economic growth and renewable energy consumption. The study is based on data obtained from 1992 to 2018. The results show that there is a two-way link between foreign direct investment and renewable energy consumption in the considered two countries. The Granger causality test approach is applied to explore the causal relationship between the variables. The Johansen co-integration test approach is also employed to test for a relationship. The empirical results verify the existence of co-integration between the series. The main factors influencing renewable energy are economic growth and electricity consumption. To reduce dependence on fuel-based energy sources, Kazakhstan and Uzbekistan need to attract energy to renewable energy sources and implement energy efficiency based on rapid progress. This is because renewable energy sources play the role of an engine that stimulates the production process in the economy for all countries.

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