renewable and non renewable energy growth emissions linkages review of emerging trends with policy implications abstract this study is an extension of the previous studies which focused mainly on energy growth nexus but fails to consider the carbon emission implication of this relationship the methodology of the study permits a comprehensive and comparative analysis of existing studies on renewable and non renewable energy growth emission nexus in order to draw some implications for policy and research the survey revealed the extent of the spread of studies across issues time and geographical space countries and regions it also disclosed the range of methodological approaches adopted to analyse the issues over time and the frequency of their use it unravelled the varied findings across countries and regions given the diverse methods employed and specific features of the economies analysed arising from the literature survey this study highlights the existing gaps in the literature and new direction for policy and research the general policy implication of the findings of this study is that pollution effect of energy growth nexus should be taken into consideration in policy formulation for sustainable development further the design of regional and global policies should recognise the fact that energy growth emission linkages varied across countries even in the same region some new direction for research on renewable and non renewable energy growth emission linkages pointed out in this survey includes the following future research on energy growth nexus without considering the pollution impact may not contribute so much to the literature studies should investigate the substitution complementary effects of the energy varieties on growth emission nexus while new methodological contributions are imperative

energy growth long term relationship under structural breaks evidence from canada 17 latin american economies and the usa abstract we study the relationship and the causal link between electric power consumption epc and gross domestic product gdp both per capita for 17 countries in latin america canada and the usa considering that many of these economies underwent important economic crises in the last three decades we therefore model the epc gdp relationship through a vec specification that allows for structural breaks along with a robust testing methodology of causal links based on the concepts of weak and super exogeneity rather than granger causality evidence favorable to the growth hypothesis epc gdp is found for eight countries while data of three countries support the conservation hypothesis gdp epc for three countries evidence is favorable to the neutrality hypothesis but should be considered with caution as for the remaining five countries the evidence is not conclusive

urbanization and industrialization impact of co2 emissions in china abstract this study investigates the causal linkage among co2 emissions per capita energy intensity real gdp per capita industrialization share of industrial value added in gdp urbanization share of urban population in total population and share of renewable energy consumption in china over the period from 1970 to 2015 we employ autoregressive distributed lag ardl technology to test the co integration and short and long run estimates and apply the vector error correction model vecm to analyze the directional causality among the time series data the estimates of long run parameters indicate that 1 augments of energy intensity real gdp industrialization and urbanization increase co2 emissions by 1 1 0 6 0 3 and 1 0 respectively long run feedback granger causalities exist among emissions real gdp and industrialization thus our main policy suggestions are as follows i to encourage green and sustainable urbanization as it increases economic growth but not at the expense of environmental degradation ii to strategically adjust and optimize the industrial structure iii to improve the efficiency of energy use and technological innovation and iv to increase the proportion of renewable energy in total energy consumption

why do some emerging economies proactively accelerate the adoption of renewable energy abstract this article analyses the determinants of renewable energy consumption in a panel of six major emerging economies namely brazil china india indonesia philippines and turkey that are proactively accelerating the adoption of renewable energy using fully modified ordinary least square fmols dynamic ordinary least square dols and granger causality methods this paper finds that in the long run renewable energy consumption is significantly determined by income and pollutant emission in brazil china india and indonesia while mainly by income in philippines and turkey causal link between renewable energy and income and between renewable energy and pollutant emission are found to be bidirectional in the short run these results suggest that the appropriateness of the efforts undertaken by emerging countries to reduce the carbon intensity by increasing the energy efficiency and substantially increasing the share of renewable in the overall energy mix

how renewable energy consumption lower global co2 emissions evidence from countries with different income levels significant difference in the emission renewables nexus across countries with different income levels is frequently ignored in previous studies to empirically investigate whether the effect of renewable energy consumption on carbon dioxide co2 emissions differs across countries with different income levels the emission growth renewables nexus for a global panel of 120 countries and four income based subpanels over the period 1995 2015 is examined fully considering the potential cross sectional dependence and slope heterogeneity a series of econometric techniques allowing for cross sectional dependence and slope heterogeneity is utilised cross sectional dependence and slope heterogeneity are confirmed for the global panel as well as for all four subpanels only for the global panel high income subpanel and upper middle income subpanel is the environmental kuznets curve ekc hypothesis valid renewable energy consumption has a negative effect on co2 emissions but its effect is not significant the mitigation effect may be obscured by higher economic growth and increasing non renewable energy consumption the global panel and four subpanels provide mixed directionality of causality among the variables suggesting that for various income based subpanels significant differences exist in the effect of renewable energy consumption on co2 emissions especially highlighting in various direct and indirect influencing paths between renewable energy consumption and co2 emissions

comparison shopping as a simultaneous move game this paper analyzes simultaneous move models of comparison shopping it shows that the equilibria in wilde schwartz 1979 can be rationalized as symmetric mixed strategies in an appropriately defined game in which information acquisition costs are endogenous it also shown that in the simultaneous move version of salop stiglitz 1977 nonexistence of equilibrium is not a problem in fact a variety of forms of equilibria emerge in that model pure strategy mixed strategy and blends of the two copyright 1992 by royal economic society

the causal relationship between biomass energy use and economic growth in the united states abstract this paper examines the causality relations among economic growth biomass energy consumption employment and capital in the u s between 1961 and 2011 using the ardl bounds testing approach to cointegration long and short run relationships among the variables are estimated long run and short run coefficients indicate that biomass energy consumption has positive impacts on economic growth for the u s in addition the granger causality results illustrate that unidirectional causality from biomass energy consumption to real gdp supportive of the growth hypothesis

energy consumption and gdp in developing countries a cointegrated panel analysis in this paper we re investigate the co movement and the causality relationship between energy consumption and gdp in 18 developing countries using data for the period 1975 to 2001 recently developed tests for the panel unit root heterogeneous panel cointegration and panel based error correction models are employed the empirical results provide clear support of a long run cointegration relationship after allowing for the heterogeneous country effect the long run relationship is estimated using a full modified ols the evidence shows that long run and short run causalities run from energy consumption to gdp but not vice versa this result indicates that energy conservation may harm economic growth in developing countries regardless of being transitory or permanent

renewable and non renewable energy use economic growth nexus the case of mena net oil importing countries abstract this study examines the energy use economic growth nexus by disaggregating energy use into two types of energy renewable and non renewable energy use our sample consists of eleven mena net oil importing countries noics during the period 1980 2012 a multivariate panel framework was used to estimate the long run relationship and the panel granger causality tests was employed to assess the causality direction among variables the empirical results provide evidence for long term equilibrium relationship between real gross domestic product gdp renewable energy use non renewable energy use real gross fixed capital formation and labor force the results provide evidence also for positive and statistically significant elasticities moreover the empirical findings from panel error correction model confirm the existence of bidirectional causality between renewable energy use and economic growth and between non renewable energy use and economic growth results that support the feedback hypothesis moreover our empirical findings provide evidence for two way bidirectional causal association in both the short and long run between renewable and non renewable energy use which proves the substitutability and interdependence between these two types of energy sources the policies implications of these results are also proposed and discussed

the relationship between gdp and electricity consumption in 10 asian countries the purpose of this study is to estimate the relationships between gdp and electricity consumption in 10 newly industrializing and developing asian countries using both single data sets and panel data procedures the empirical results from single data set indicate that the causality directions in the 10 asian countries are mixed while there is a uni directional short run causality running from economic growth to electricity consumption and a bi directional long run causality between electricity consumption and economic growth if the panel data procedure is implemented these empirical findings imply that electricity conservation policies through both rationalizing the electricity supply efficiency improvement to avoid the wastage of electricity and managing demand side to reduce the electricity consumption without affecting the end user benefits could be initiated without adverse effect on economic growth the findings on the long run relationship indicate that a sufficiently large supply of electricity can ensure that a higher level of economic growth

the stability of price dispersion under seller and consumer learning in many markets it is possible to find rival sellers charging different prices for the same good earlier research has attempted to explain this phenomenon by demonstrating the existence of dispersed price equilibria when consumers must make use of costly search to discover prices we ask whether such equilibria can be learned when sellers adjust prices adaptively in response to current market conditions with consumer behavior fixed convergence to a dispersed price equilibrium is possible in some cases however once consumer learning is introduced the monopoly outcome first found by diamond journal of economic theory3 1971 156 68 is the only stable equilibrium

environmental pollution hydropower energy consumption and economic growth evidence from g7 countries abstract the aim of this study is to examine the relationship among environmental pollution economic growth and hydropower energy consumption in the different regimes of the business cycles for g7 countries over the period of 1961 2013 we used markov switching vector autoregressive ms var and ms granger causality methods to achieve this goal since the traditional methods examine the causality by assuming all period in the same level unlike traditional methods these methods allow for determining the relationship and casual dynamics between variables in different regimes the causality results obtained for different regimes assisted to suggest policy recommendations for each regime individually according to analysis results it was found that there is bidirectional granger causality between carbon dioxide emissions and economic growth in the crisis regime and in the high growth regime while carbon dioxide emissions are granger cause of economic growth in all regimes in general we found evidence that hydropower energy consumption is granger cause of economic growth in general whereas there is a bidirectional causality for some g7 countries furthermore the results from these models indicate that in the first second and third regimes carbon dioxide emissions are granger cause of hydropower energy consumption and hydropower energy consumption is granger cause of carbon dioxide emissions for some g7 countries

the relationship between energy and production evidence from turkish manufacturing industry this paper investigates the relationship between energy and production at the industry level in an emerging market turkey in a multivariate framework the electricity consumption and value added relation is examined in the turkish manufacturing industry while also accounting for labor and fixed investment we find that labor fixed investment electricity consumption and value added are related via three cointegrating vectors the vec results indicate uni directional causality running from electricity consumption to value added generalized impulse response and variance decomposition analyses confirm these results thus energy input appears to be closely related to production hence energy saving technologies and increased energy efficiency may increase the growth in manufacturing value added

imperfect information monopolistic competition and public policy introduction ever since the pioneering work of george stigler 1961 and the provocative survey by michael rothschild 1973 economists have recognized that general equilibrium models yield competitive equilibria only by making strong assumptions about the information available to market participants in response to this difficulty theorists in recent years have developed a family of search equilibrium models that presuppose homogeneity and the absence of price discrimination and which also assume that information acquisition costs are positive for at least a subset of buyers on the basis of these and other assumptions the models attempt to show how price dispersion equilibria can arise solely as a result of the strategies that firms and consumers pursue one author summarized the results if information is costly each small firm obtains market power so that the relevant market structure with imperfect information is not per ect competition but rather monopolistic competition steven salop 1976 p 240

prices and qualities in markets with costly information this paper extends the seminal work of akerlof and salop and stiglitz in two directions i the sellers can select both the selling prices and quality levels of their good and ii the buyers can acquire price quality information about individual sellers at a cost we observe multiple price quality combinations in equilibrium which depend upon the distribution of information costs of consumers and upon whether quality or price or both are costly observable welfare comparisons of equilibrium are considered we show that welfare will be greater when price advertising is permitted

ordinary and special regimes of electricity generation in spain how they interact with economic activity abstract the purpose of this paper is to review the literature focused on the energy electricity growth nexus highlighting how the focus has shifted from aggregated energy electricity consumption towards specific energy sources moreover it aims to shed light on the relationships between different energy electricity sources and economic growth empirically the paper focuses on the analysis of interactions between electricity generation in spain under both the special regime sr and the ordinary regime or and their relationship with economic activity data for spain is studied for a time span from january 2003 to january 2016 the toda yamamoto causality test is carried out to check for causality relationships additionally both short and long run effects are assessed by using the ardl bounds test approach overall the results reveal high internal consistency when comparing the ardl results with the causality analysis the substitution effect was detected between or and sr however the negative effect of the sr on economic activity deserves special attention by energy policymakers this paper argues that the main challenge of renewable sources for policymakers is their cost effectiveness

structural change the real exchange rate and the balance of payments in mexico 1960 2012 this paper estimates a structural model of the balance of payments with disaggregated exports manufactures and other and imports final and intermediate and a reduced form model of the trade balance for the mexican economy the analysis identifies structural changes in the composition of mexico s trade and the parameters that affect it across five subperiods marked by statistical breakpoints the results indicate that a tightening of the balance of payments constraint may account for the post liberalization slowdown in mexico s growth only during certain subperiods and that the impact of real exchange rate changes on the trade balance has diminished most likely as a result of the increasing integration of export industries into global supply chains the results also suggest an asymmetry whereby a country cannot sustain growth above the rate consistent with balance of payments equilibrium as expected but it can grow persistently below that rate when other constraints are more binding

the non linear impact of oil price on the oil demand a panel smooth transition regression model was adopted to analyse the non linear impact of oil prices on oil demand data for 42 countries was obtained from the international energy agency for the

u s disaggregated renewable energy consumption persistence and long memory behavior abstract this study examines the degree of time persistence in u s disaggregated renewable energy consumption hydropower geothermal solar wind wood waste and biofuels using innovative fractional integration and autoregressive models with monthly data for the period 1994 2 to 2011 10 the results indicate that in the case of hydropower solar wind waste and biofuels the estimates of fractional integration are higher than 0 5 but less than 1 0 implying nonstationary but mean reverting behavior in the case of geothermal and waste the estimates of fractional integration are around 0 5 and in the boundary case between stationarity and nonstationarity for wood the estimate of fractional integration is significantly smaller than 0 5 and thus showing stationary behavior with long memory behavior furthermore the study incorporates the presence of breaks in the data with the absence of breaks in hydropower geothermal solar wind wood and biofuels but a single break in the case of waste due to the inclusion of non renewable waste from non biogenic sources through 2000 the results reveal that u s disaggregated renewable energy consumption measures are better explained in terms of a long memory model that incorporates persistence components and seasonality

the growth of income and energy consumption in six developing countries this paper reexamines the inter temporal link between energy consumption and income in six developing countries with diverse economic backgrounds and energy statistics in a production function framework we employ the generalized variance decompositions and generalized impulse response techniques to see if the growth of income and energy consumption contains considerable information to predict each other in all countries energy appears as an essential factor of production results indicate that energy may be a relatively more important input than labor and or capital in some countries hence neutrality of energy does not seem to hold

assessing the development of china s new energy industry abstract as the world s largest carbon dioxide co 2 emitter china is facing increasing international pressure to reduce emissions actively developing new energy has become a fundamental means to solve the dilemma between environmental pollution and energy consumption growth thus more scholars have conducted a wide range of studies on the new energy industry however most of the existing studies use traditional linear models to investigate the relationships between new energy industry and its driving forces ignoring the objective reality that there are many nonlinear relationships in economic variables in order to overcome the shortcomings of existing research this paper uses a data driven nonparametric additive regression model to study the new energy industry the results show that the nonlinear effect of agricultural development shows an inverted u shaped pattern due to the changes in crop acreage at different stages of development the nonlinear impact of foreign energy dependence also indicates an inverted u shaped pattern however technological progress produces a positive u shaped nonlinear impact on the new energy industry because of the difference in r d funding and r d personnel investments similarly the impact of energy consumption structure also shows a positive u shaped pattern owing to the gradual decline in coal consumption therefore the government should develop differentiated policies at different stages in order to effectively promote the development of new energy industries

substitute or complement assessing renewable and nonrenewable energy in oecd countries the elasticity of interfuel substitution between renewable and nonrenewable energy is key to establishing effective climate change policy this is the first study to estimate the elasticity of substitution between different fossil fuels and renewable resources we used 12 manufacturing industry level datasets for the oecd countries from 1995 to 2009 we found a complementary relationship from nonrenewable energy to renewable energy in eight industries whereas a substitute relationship was maintained for four industries in particular the food and pulp industries had a strong complementary relationship

co movements and spillovers of oil and renewable firms under extreme conditions new evidence from negative wti prices during covid 19 we test for the existence of volatility spillovers and co movements among energy focused corporations during the outbreak of the covid 19 pandemic inclusive of the april 2020 events where west texas intermediate wti oil future prices became negative employing the spillover index approach of diebold and yilmaz 2012 as well as developing a dcc figarch conditional correlation framework and using estimated spillover indices built on a generalised vector autoregressive framework in which forecast error variance decompositions are invariant to the variable ordering we examine the sectoral transmission mechanisms of volatility shocks and contagion throughout the energy sector among several results we find positive and economically meaningful spillovers from falling oil prices to both renewable energy and coal markets however this result is only found for the narrow portion of our sample surrounding the negative wti event we interpret our results being directly attributed to a sharp drop in global oil gas and coal demand rather than because of a sudden increase in oil supply while investors observed the us fracking industry losing market share to coal they also viewed renewables as more reliable mechanism to generate long term stable and low cost supply

price quality and timing of moves in markets with incomplete information an experimental analysis this paper reports the results of theoretical and experimental analyses of search models of shopping behavior earlier work which dealt with markets for homogeneous goods in which sellers first determined their prices and buyers then decided upon their information acquisition shopping strategies conditional upon the distribution of prices showed that nash equilibria for these markets were good predictions of outcomes of laboratory experiments the authors extend the analysis to markets with heterogeneous goods and allow buyers and sellers to move simultaneously the results of a series of laboratory experiments indicate that the nash equilibria continue to be good predictions in these more realistic settings copyright 1992 by royal economic society

energy gdp relationship revisited an example from gcc countries using panel causality abstract this work investigates the causality relationship between gross domestic product gdp and energy consumption in the six countries of the gulf cooperation council gcc recently developed panel cointegration and causality techniques are used to uncover the direction of energy gdp causality in the gcc empirical results indicate a unidirectional causality running from gdp to energy consumption evidence shows no support for the hypothesis that energy consumption is the source of gdp growth in the gcc countries such results suggest that energy conservation policies may be adopted without much concern about their adverse effects on the growth of gcc economies

renewable energy consumption and income in emerging economies abstract increased economic growth and demand for energy in emerging economies is creating an opportunity for these countries to increase their usage of renewable energy this paper presents and estimates two empirical models of renewable energy consumption and income for a panel of emerging economies panel cointegration estimates show that increases in real per capita income have a positive and statistically significant impact on per capita renewable energy consumption in the long term a 1 increase in real income per capita increases the consumption of renewable energy per capita in emerging economies by approximately 3 5 long term renewable energy per capita consumption price elasticity estimates are approximately equal to 0 70

trade liberalisation the peso and mexico s commodity trade flows with the united states abstract we assess the effects of real peso devaluations as well as the effects of gatt and nafta on mexico s in payments and out payments with the united states for 102 industries we find that relatively few trade flows are sensitive to changes in the real exchange rate probably due to production sharing and intra industry trade but devaluations affect mexican imports more than exports trade liberalisation has had a larger impact particularly on imports of intermediate goods and exports of certain manufactures many affected export industries are ones that have previously been shown to have economies of scale

applied econometrics and implications for energy economics research abstract developments in applied econometrics particularly with regard to unit root tests and cointegration tests have motivated a rich empirical literature on energy economics over the last decade this study reviews recent developments in time series econometrics applications in the energy economics literature we first consider the literature on the integration properties of energy variables we begin with a discussion of the implications of whether energy variables contain a unit root and proceed to examine how results differ according to the specific unit root or stationarity test employed we then proceed to examine recent developments in the literature on cointegration granger causality and long run estimates between disaggregated energy consumption and economic growth we review both single country and panel studies and pay particular attention to studies which have expanded the literature through adding variables such as financial development and trade in addition to energy consumption to the augmented production function as well as studies which have extended the literature through examining disaggregated energy consumption by type in each case we highlight best practice in the literature point to limitations in the literature including econometric modeling challenges and suggest recommendations for future research a key message of our survey is that the profession needs to guard against overload of research in these areas as most applied studies are no longer adding anything more to what is already known

energy and economic growth in the usa a multivariate approach abstract this paper examines the causal relationship between gdp and energy use for the period 1947 90 in the usa the relationship between energy use and economic growth has been examined by both biophysical and neoclassical economists in particular several studies have tested for the presence of a causal relationship in the granger sense between energy use and economic growth however these tests do not allow a direct test of the relative explanatory powers of the neoclassical and biophysical models a multivariate adaptation of the test vector autoregression var does allow such a test a var of gdp energy use capital stock and employment is estimated and granger tests for causal relationships between the variables are carried out although there is no evidence that gross energy use granger causes gdp a measure of final energy use adjusted for changing fuel composition does granger cause gdp

uncertainty and shopping behaviour an experimental analysis this paper reports experimental tests of three search equilibrium models these models which differ only in the search strategies available to the buyers have qualitatively different predictions that is equilibria price distributions single price equilibria at the competitive price and at the monopoly price and two price equilibria the experimental outcomes generally were consistent with the models predictions this suggests that debate on the utility of this class of models should shift to the realism of the models assumptions rather than focus on their ability to characterize market outcomes also since the basic models have been validated the project of analyzing experimentally the results of relaxing some of their assumptions seems worthwhile

renewable energy output co2 emissions and fossil fuel prices in central america evidence from a nonlinear panel smooth transition vector error correction model abstract this study examines the determinants of renewable energy consumption per capita for a panel of seven central american countries over the period 1980 to 2010 specifically we find that a long run cointegrated relationship exists between renewable energy consumption per capita real gdp per capita carbon emissions per capita real coal prices and real oil prices with the respective coefficients positive and statistically significant a structural break in the cointegrating relationship appears in 2002 which coincides with the establishment of the energy and environment partnership with central america initiative to expand the use of renewable energy sources recognizing the regime shift in 2002 we estimate a nonlinear panel smooth transition vector error correction model to show that for the post 2002 period the influence of renewable energy consumption per capita upon real coal and oil prices strengthened relative to the pre 2002 period as well as a greater sensitivity of real gdp per capita to carbon emissions per capita

the j curve and nafta evidence from commodity trade between the us and mexico the north american free trade agreement nafta was predicted to have a substantial impact on the us mexico trade especially on specific importing and exporting industries in this article we use annual industry level export and import data from 1962 to 2004 to discern both the short and long run effects of real exchange rate depreciation on the mexico us trade balance as well as the effects of nafta on this trade we find that peso depreciation has a positive long run effect on 24 of 102 mexican industries and a negative short run effect on 19 of 102 industries only a small fraction 7 of 102 industries show any support for the j curve hypothesis nafta has had a significant effect on a significant number of the industries however

the impact of nafta on the united states we describe the main economic arguments posed for and against the north american free trade agreement nafta during the u s policy debate to evaluate these arguments we analyze recent trade data and survey post nafta studies we find that both the u s and mexico benefit from nafta with much larger relative benefits for mexico nafta also has had little effect on the u s labor market these results confirm the consensus opinion of economists at the time of the debate finally studies find that trade creation greatly exceeds trade diversion in the region under nafta especially in intermediate goods

a multivariate cointegration analysis of the role of energy in the us macroeconomy abstract this paper extends my previous analysis of the causal relationship of gdp and energy use in the usa in the post war period a majority of the relevant variables are integrated justifying a cointegration analysis the results show that cointegration does occur and that energy input cannot be excluded from the cointegration space the results are plausible in terms of macroeconomic dynamics the results are similar to my previous granger causality results and contradict claims in the literature based on bivariate models that there is no cointegration between energy and output

energy consumption and economic growth the case of oil exporting countries this paper examines the causal relationship between the per capita energy consumption and the per capita gdp in a panel of 11 selected oil exporting countries by using panel unit root tests and panel cointegration analysis the results show a unidirectional strong causality from economic growth to energy consumption for the oil exporting countries the findings have practical policy implications for decision makers in the area of macroeconomic planning in most major oil exporting countries government policies keep domestic prices bellow free market level resulting in high levels of domestic energy consumption the results imply that the energy conservation through reforming energy price policies has no damaging repercussions on economic growth for this group of countries

the causal dynamics between renewable energy real gdp emissions and oil prices evidence from oecd countries this study extends the empirical literature on the determinants of renewable energy consumption in the case of 25 oecd countries for the period 1980 2011 preliminary analysis suggests the presence of cross sectional dependence within the panel data as a result second generation panel unit root tests of smith et al 2004 and pesaran 2007 are undertaken to find the respective variables that are integrated of order one panel cointegration and error correction modelling reveal that a long run relationship exists between renewable energy consumption per capita real gdp per capita carbon dioxide emissions per capita and real oil prices the long run elasticity estimates are positive and statistically significant for real gdp per capita carbon dioxide emissions per capita and real oil prices the panel error correction model shows that a feedback relationship exists among the variables

causal relationship between energy consumption and gdp growth revisited a dynamic panel data approach abstract this paper uses the panel data of energy consumption and gdp for 82 countries from 1972 to 2002 based on the income levels defined by the world bank the data are divided into four categories low income group lower middle income group upper middle income group and high income group we employ the gmm sys approach for the estimation of the panel var model in each of the four groups afterwards the causal relationship between energy consumption and economic growth is tested and ascertained we discover a in the low income group there exists no causal relationship between energy consumption and economic growth b in the middle income groups lower and upper middle income groups economic growth leads energy consumption positively c in the high income group countries economic growth leads energy consumption negatively after further in depth analysis of energy related data the results indicate that in the high income group there is a great environmental improvement as a result of more efficient energy use and reduction in the release of co2 however in the upper middle income group countries after the energy crisis the energy efficiency declines and the release of co2 rises since there is no evidence indicating that energy consumption leads economic growth in any of the four income groups a stronger energy conservation policy should be pursued in all countries

electricity consumption and economic growth bounds and causality analyses of opec members this paper investigates the relationship between electricity consumption and economic growth for opec members the bounds test yields evidence of a long run relationship between electricity consumption and economic growth for all opec members causality results suggest that economic growth is dependent on electricity consumption in five countries less dependent in three countries and independent in three countries because these countries do not necessarily share similar political and economic traits no single universal policy implication can be inferred from the results the disparities across these causality results therefore stress the importance of formulating causality explanations while taking into account the particularities of individual countries rather than blindly applying the conventional interpretations

energy consumption economic growth and prices a reassessment using panel vecm for developed and developing countries this paper reinvestigates the energy consumption gdp growth nexus in a panel error correction model using data on 20 net energy importers and exporters from 1971 to 2002 among the energy exporters there was bidirectional causality between economic growth and energy consumption in the developed countries in both the short and long run while in the developing countries energy consumption stimulates growth only in the short run the former result is also found for energy importers and the latter result exists only for the developed countries within this category in addition compared to the developing countries the developed countries elasticity response in terms of economic growth from an increase in energy consumption is larger although its income elasticity is lower and less than unitary lastly the implications for energy policy calling for a more holistic approach are discussed c 2006 elsevier ltd all rights reserved

renewable energy consumption co2 emissions and oil prices in the g7 countries abstract economic and societal issues related to energy security and global warming is placing greater emphasis on the consumption of renewable energy this paper presents and estimates an empirical model of renewable energy consumption for the g7 countries panel cointegration estimates show that in the long term increases in real gdp per capita and co2 per capita are found to be major drivers behind per capita renewable energy consumption these results are robust across two different panel cointegration estimators oil price increases have a smaller although negative impact on renewable energy consumption deviations from equilibrium are driven mostly by the error correction term as opposed to short term shocks short term deviations from the long term equilibrium take anywhere from between 1 3 years france and 7 3 years japan to correct

does increasing investment in research and development promote economic growth decoupling from carbon emission growth an empirical analysis of brics countries abstract it is generally recognized that increasing research and development investment is an effective measure to promote economic and social progress an open question is if increasing research and development investment help economic growth decoupling from carbon emission this study investigates research and development investment and carbon emission in brics countries by using the fully modified ordinary least squares for empirical estimation from 1996 to 2014 the results show that every 1 increase in research and development investment carbon emissions will be decreased by 0 8122 for the brics as a whole which indicates increasing research and development investment has a positive impact on decoupling economic growth from environmental pressure for individual this impact is most significant in china weak in russia and india however it also should be noted that only increasing research and development investment cannot achieve the decoupling between economic growth and carbon emission because other factors such as economic activity industrialization and urbanization renewable energy also influences the decoupling economic growth from carbon emission the results also show that economic activity industrialization and urbanization pose negative impact on the decoupling whereas renewable energy consumption promote the decoupling

a panel bootstrap cointegration test this paper proposes a bootstrap test for the null hypothesis of cointegration in panel data the test is general enough to allow for dependence both within and between the cross sectional units and is shown to work well in small samples

decoupling strategies co2 emissions energy resources and economic growth in the group of twenty abstract this study uses the group of twenty g20 as a representative sample of global economic development within a panel emissions energy output eeo framework over the period 1991 2016 to estimate the carbon kuznets curve ckc the clean fossil fuels energy consumption ce ff elasticity of demand for carbon emissions the causalities between emissions energy and economy and thus to propose strategy for decoupling environmental pressure from economic growth eg the results of the descriptive statistical analysis suggest an absolute decoupling effect seems to have occurred with the drop in related environmental pressure and the continuation of economic growth the panel cointegration test results show that there is a long run equilibrium relationship between carbon emissions ff real gdp and different types of ce i e new renewable ren hydropower hydro nuclear nuc the estimation results show that the ckc exists and emissions are positively elastic to ff and negatively inelastic to ren hydro nuc although ren s average per capita compound annual growth rate reached 14 the results of panel vector error correction models reveal that 1 the use of nuclear energy is a key means for dealing with carbon emissions 2 the substitutability symbiosis exists between ren hydro and ff 3 the feedback hypothesis between eg and ff ren and the hydro nuc led growth hypothesis are confirmed therefore energy saving policies may hurt eg a broad strategy for emissions energy consumption and economy decoupling are to support diversified sustainable energy consumption mix including shp ren and nuc and maintain stable economic growth thereby improving energy efficiency and safety reducing carbon dioxide intensity and thus leading the world to absolute decoupling absolute decoupling is the only way to achieve a truly sustainable future

hydroelectricity consumption and economic growth nexus evidence from a panel of ten largest hydroelectricity consumers abstract this paper explores the long run and causal relationships between hydroelectricity consumption and economic growth for a panel of the 10 largest hydroelectricity consuming countries over the period 1965 2012 the countries include brazil canada china france india japan norway sweden turkey and the u s a using the bai and perron 2003 9 tests for cointegration the results indicate that real gdp per capita and hydroelectricity consumption per capita appear to be cointegrated around a broken intercept granger causality results from a nonlinear panel smooth transition vector error correction model suggest different results depending on the regimes which we identified based on structural break tests the test identified three breaks at 1988 2000 and 2009 for the pre 1988 period there is evidence of unidirectional causality running from real gdp per capita to hydroelectricity per capita in both the short and long run over the post 1988 period there exists evidence of bidirectional causality between hydroelectricity energy consumption per capita and real gdp per capita in both the short and the long run the results imply the existence of a feedback hypothesis with both hydroelectricity consumption and growth promoting each other in more recent periods as the importance of hydroelectricity as a renewable energy has become more prominent

simultaneity modeling analysis of the environmental kuznets curve hypothesis the environmental kuznets curve ekc hypothesis has been recognized in the environmental economics literature since the 1990 s various statistical tests have been used on time series cross section and panel data related to single and groups of countries to validate this hypothesis in the literature the validation has always been conducted by using a single equation however since both the environment and income variables are endogenous the estimation of a single equation model when simultaneity exists produces inconsistent and biased estimates therefore we formulate simultaneous two equation models to investigate the ekc hypothesis for fifty six countries using annual panel data from 1990 to 2012 with the end year is determined by data availability for the panel to make the panel data analysis more homogeneous we investigate this issue for a three income based panels namely high middle and low income panels given several explanatory variables our results indicate that there exists a bidirectional causality between economic growth and pollution emissions in the overall panels we also find that the relationship is nonlinear and has an inverted u shape for all the considered panels policy implications are provided

literature survey on the relationships between energy environment and economic growth abstract the aim of this study is to exhibit an exhaustive survey which is related to the great flight of the literature of energy environment growth nexus at the individual and regional scale studies covering the period from 1978 to 2014 the survey takes into consideration the sample country region etc periods covering econometric strategies and conclusions our survey is based on the causality direction among i the energy use variables electricity nuclear renewable and non renewable and output growth ii between economic growth and environment and between the three variables at the same time globally these surveys provide paradoxical and not conclusive results which energy consumption can boost economic growth through the productivity enhancement and it can boost also the environmental damages through the enhancement of pollutant emissions our survey sheds more the lights on the energy environment growth literature by giving an extensive listing 1978 2014 of these causal linkages among the energy use variables environment and economic growth for both individual and collective cases there is a unanimous consensus about the importance of dealing with such dynamic relationship which is seems to be a cornerstone element in setting any ambition strategies energy ecological and economics

economic growth urbanization and energy consumption a provincial level analysis of china abstract as the largest developing country with fast paced economic growth china s development has been characterized by a high degree of energy consumption high level of heavy industry international trade and urbanization progress in this study we extend the current literature by incorporating urbanization energy consumption and international trade into a production function using a panel data set model over the period from 2001 to 2012 the results show that urbanization and capital are the major contributors to china s economic growth meanwhile there exists a u shaped relationship between urbanization and economic growth that heavy industry exerts a significant negative effect on economic growth using system generalized methods of moments gmm sys estimation methods and the relationship between international trade and economic growth is mixed and no consistent results support the conclusion that the international trade promotes economic growth adjusting the industry and trade structure in economic growth is the priority for the policy makers

decoupling co2 emission and economic growth in china is there consistency in estimation results in analyzing environmental kuznets curve china is one of the highest growth economies in the world and it has experienced a significant rise in energy consumption and greenhouse gas emissions in recent decades its economic growth heavily depends on fossil fuels of coal and oil which led to huge amount of greenhouse gas emissions this study logically analyzes the nexus of co2 emissions economic growth and energy consumption by decoupling greenhouse gas emission of co2 and economic growth to provide more conclusive evidence on the phenomenon of the environmental kuznets curve ekc over the period 1970 2015 to achieve the objective of consistency in the estimation results the study applies different estimation techniques such as ardl auto regressive distributed lag model fmols fully modified ordinary least squares dols dynamic ordinary least squares and impulse response and variance decomposition in addition the business as usual inverted u shaped relationship between gdp per capita and an economy related co2 emission is hypothesized the result supports the environmental kuznets curve ekc hypothesis from different techniques the turning point hovers around 744665 the estimation result indicates that china ekc turning point shows some inconsistencies when compared to other turning points obtained from different studies the inconsistency of the ekc turning point is attributed to the sensitivity of the result to different data source variables selection different pollutants and scope of the data although the ekc turning point of this present research differs from other china ekc turning points it gives a clear policy roadmap on the pursuance of long run economic growth in favour of environmental quality besides significance of the turning point lies with the need to explore other structural policies such as articulated demographic and energy policies rather than passively waiting for the arrival of the inflexion point one interesting findings of the analysis is the consistency of the estimation results from the different estimation techniques

the nafta preference and us mexico trade aggregate level analysis this paper focuses on the us tariff preference afforded to mexico relative to non nafta trading partners and evaluates the trade effects of nafta in a manner consistent with the idea behind a preferential trading agreement the estimation technique exploits the time varying dimension of the tariff preference over 1989 to 2001 this is important because the tariff preference for mexico into the united states market existed prior to nafta further the nafta preference was phased in over time we find that a higher us tariff preference for mexico corresponds to increased us import demand for mexican goods and that a higher mexican tariff preference for the united states corresponds to increased mexican demand for us exports interestingly import demand was more responsive to changes in the tariff preference once nafta was in place than it was on average

energy consumption co2 emissions and economic growth an ethical dilemma in this study we examine the dynamic interrelationship in the output energy environment nexus by applying panel vector autoregression pvar and impulse response function analyses to data on energy consumption and its subcomponents carbon dioxide emissions and real gdp in 106 countries classified by different income groups over the period 1971 2011 our results reveal that the effects of the various types of energy consumption on economic growth and emissions are heterogeneous on the various groups of countries moreover causality between total economic growth and energy consumption is bidirectional thus making a case for the feedback hypothesis however we cannot report any statistically significant evidence that renewable energy consumption in particular is conducive to economic growth a fact that weakens the argument that renewable energy consumption is able to promote growth in a more efficient and environmentally sustainable way finally in analysing the case for an inverted u shaped ekc we find that the continued process of growth aggravates the greenhouse gas emissions phenomenon in this regard we cannot provide any evidence that developed countries may actually grow out of environmental pollution in the light of these findings the efficacy of recent government policies in various countries to promote renewable energy consumption as a means for sustainable growth is questioned put differently there seems to be an ethical dilemma between high economic growth rates and unsustainable environment and low or zero economic growth and environmental sustainability

energy income causality in oecd countries revisited the key role of capital stock abstract this paper applies a recent advance in panel analysis to estimate the panel cointegration and panel vector error correction models for a set of 22 oecd countries using annual data covering the period 1960 2001 we investigate the relationship between energy consumption and income using an aggregate production function and controlling for the capital stock as well as by exploring the dynamic directions of the causality among these three variables we firstly obtain solid and convincing evidence of a fairly strong long run equilibrium relationship among them secondly it is found that the capital stock is much more productive than energy consumption third it is observed that neglecting the impact of the capital stock on income tends to overestimate the effect of energy consumption finally the panel causality test shows bi directional causal linkages exist among energy consumption the capital stock and economic growth overall the findings reveal that the capital stock plays a critical role in realizing the dynamic relationship between energy and income

impact of income inequality and environmental regulation on environmental quality evidence from china abstract china s environmental pollution is of widespread concern and environmental governance has become the country s main method of achieving high quality development environmental quality is a comprehensive indicator which includes many factors such as air water and solid waste pollution this study did not use a single pollutant as a substitute variable for environmental quality firstly we used principal component analysis to construct a comprehensive environmental quality index secondly the stochastic impacts by regression on population affluence and technology and panel quantile regression models were used with data from 30 chinese provinces in china from 1998 to 2017 to analyze the effect of income inequality and environmental regulation on environmental quality the constructed comprehensive index revealed that china s environmental quality had an m type trend over time the mean regression results showed that income inequality and environmental regulation improved environmental quality but higher income inequality reduced environmental quality the panel quantile regression model results revealed that the coefficient of income inequality was positively significant at the 10 30 quantiles and negatively significant at the 70 90 quantiles the coefficients of the absolute value of income inequality at the 10 30 quantiles were less than those at the 70 90 quantiles this implied that higher income inequality reduced environmental quality whereas higher environmental regulations improved environmental quality considering the possible impact of environmental quality on income inequality and environmental regulations we designed a simultaneous equation model to overcome the deviation caused by bilateral causality the conclusions of this study provide policymakers with a new perspective on environmental governance and new paths for achieving high quality development

electricity use and economic development abstract a study of the relationship between electricity use and economic development in over one hundred countries constituting over 99 of the global economy has been undertaken correlations between electricity consumption capita and gdp capita have been analysed and compared with those between total primary energy supply capita and gdp capita a supporting analysis has correlated the proportion of energy used in the form electricity the e e ratio with gdp capita the general conclusions of this research are that wealthy countries have a stronger correlation between electricity use and wealth creation than do poor countries and that for the global economy as a whole there is a stronger correlation between electricity use and wealth creation than there is between total energy use and wealth the study also shows that in wealthy countries the increase in wealth over time correlates with an increase in the e e ratio the results imply that the energy ratio toe should be replaced by the electricity ratio kwh as a development indicator and more precisely by the e e ratio kwh toe

co integration and causality testing of the energy gdp relationship a cross country study in this paper the energy gdp relationship in per capita terms is analysed for a sample of 16 countries over the time period 1950 51 to 1984 85 co integration theory is first used to test whether a long run equilibrium relation exists between the two variables after co integration has been established causality measures are constructed to quantify various types of feedback between energy and gdp for each country it is then examined whether the causality measures are longitudinally related to certain basic economic indicators of the countries in the sample

trade creation and trade diversion in the canada united states free trade agreement in this paper the changes in trade patterns introduced by the canada united states free trade agreement are examined variation in the extent of tariff liberalization under the agreement is used to identify the impact of tariff liberalization on the growth of trade both with member countries and non member countries data at the commodity level are used and the results indicate that the canada united states free trade agreement had substantial trade creation effects with little evidence of trade diversion jel classification f13 f14

what is better for mitigating carbon emissions renewable energy or nuclear energy a panel data analysis abstract this paper investigates the determinants of carbon emissions based on energy consumption analyzing the data of 30 countries using nuclear energy for the period 1990 2014 renewable energy and nuclear energy consumption are adopted as determinants and real coal price and real gdp are used as additive variables the panel cointegration analysis and granger causality tests are conducted to investigating the relationship among the variables first the panel cointegration test results suggest that long run equilibrium relationship exists among carbon emissions renewable energy consumption and nuclear energy consumption the results of the long run cointegrating vector and granger causality tests indicate that nuclear energy does not contribute to carbon reduction unlike renewable energy thus the development and expansion of renewable not nuclear energy are essential to prevent global warming though there is a concern that rising energy prices caused by the expansion of renewable energy may impact the economy negatively our empirical results also imply that renewable energy consumption will promote economic growth in other words our evidence shows that using and expanding renewable energy is both economically and ecologically beneficial

an empirical examination of the structural stability of disaggregated u s import demand we present three related types of evidence on u s import demand first aggregate import demand is reestimated for comparison with previous research second we provide updated estimates of import demand for five economic classes crude foods crude materials manufactured foods semi manufactures and finished manufactures finally each of these import demand functions is tested for any evidence of structural instability and in those cases where instability is detected the demand equations are reestimated along the lines suggested by the stability tests copyright 1989 by mit press

energy consumption income and carbon emissions in the united states abstract this paper investigates the effect of energy consumption and output on carbon emissions in the united states earlier research focused on testing the existence and or shape of an environmental kuznets curve without taking energy consumption into account we investigate the granger causality relationship between income energy consumption and carbon emissions including labor and gross fixed capital formation in the model we find that income does not granger cause carbon emissions in the us in the long run but energy use does hence income growth by itself may not become a solution to environmental problems

regional differences in the dynamic linkage between co2 emissions sectoral output and economic growth environmental degradation measured by co2 emissions is a significant challenge to sustainable economic development owing to significant differences in the empirical relationship between the economic growth and co2 emissions and policies adopted by different countries to overcome the challenge are not decisive this study aims to generalize our knowledge about the relationship between co2 emissions per capita and economic growth across the world for 1980 2009 periods besides it explores whether the transformation of different economies e g agrarian to industrial and industrial to sophisticated service economy over the past few decades yielded any significant positive impact towards sustainable economic development by reducing the level of co2 emission empirical results suggest that i except for high income countries environmental kuznets curve ekc is a general phenomenon across the world and ii the transformation of different economies towards a service economy has produced more pollution in high income countries and less pollution in low and middle income countries

the dynamic instability of dispersed price equilibria abstract we adopt an evolutionary framework to explain price dispersion as a time varying phenomenon by developing a finite strategy analogue of the burdett and judd 1983 price dispersion model we show that all dispersed price equilibria are unstable under the class of perturbed best response dynamics instead numerical simulations using the logit dynamic show that price dispersion manifests itself as a limit cycle we verify that limit cycles persist even when the finite strategy model approaches the original continuous strategy model for a particularly simple case of the model we prove the existence of a limit cycle

a north american free trade agreement analytical issues and a computational assessment abstractthe following sections are included introductionissues in analyzing the economic impact of the naftathe computational modelcomputational resultsconclusionsstudy questionsreferencessuggested further reading this abstract was borrowed from another version of this item

energy consumption economic growth and carbon emissions challenges faced by an eu candidate member abstract this paper investigates the long run granger causality relationship between economic growth carbon dioxide emissions and energy consumption in turkey controlling for gross fixed capital formation and labor the most interesting result is that carbon emissions seem to granger cause energy consumption but the reverse is not true the lack of a long run causal link between income and emissions may be implying that to reduce carbon emissions turkey does not have to forgo economic growth

energy use and output growth in canada a multivariate cointegration analysis using a neo classical one sector aggregate production technology where capital labor and energy are treated as separate inputs this paper develops a vector error correction vec model to test for the existence and direction of causality between output growth and energy use in canada using the johansen cointegration technique the empirical findings indicate that the long run movements of output labor capital and energy use in canada are related by two cointegrating vectors then using a vec specification the short run dynamics of the variables indicate that granger causality is running in both directions between output growth and energy use hence an important policy implication of the analysis is that energy can be considered as a limiting factor to output growth in canada

energy consumption and economic growth in central america evidence from a panel cointegration and error correction model abstract this study examines the relationship between energy consumption and economic growth for six central american countries over the period 1980 2004 within a multivariate framework given the relatively short span of the time series data a panel cointegration and error correction model is employed to infer the causal relationship based on the heterogeneous panel cointegration test by pedroni pedroni p 1999 critical values for cointegration tests in heterogeneous panels with multiple regressors oxford bulletin of economics and statistics 61 653 670 pedroni p 2004 panel cointegration asymptotic and finite sample properties of pooled time series tests with an application to the ppp hypothesis new results econometric theory 20 597 627 cointegration is present between real gdp energy consumption the labor force and real gross fixed capital formation with the respective coefficients positive and statistically significant the granger causality results indicate the presence of both short run and long run causality from energy consumption to economic growth which supports the growth hypothesis