Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/268836 
Year of Publication: 
2022
Citation: 
[Journal:] Pakistan Journal of Commerce and Social Sciences (PJCSS) [ISSN:] 2309-8619 [Volume:] 16 [Issue:] 4 [Year:] 2022 [Pages:] 576-603
Publisher: 
Johar Education Society, Pakistan (JESPK), Lahore
Abstract: 
The objective of this study is to analyze the role of economic policy uncertainty (EPU) and financial development in shaping renewable energy consumption employing panel data of 130 economies from 1990 to 2020. The empirical analysis is based on pooled ordinary least squares, fixed effects, random effects, and system generalized method of moments estimation techniques. The empirical outcomes suggest that EPU is positively connected with global renewable energy consumption (REC). This effect, however, is not consistent across developed and developing economies. In developed countries a rise in EPU is positively linked with REC while in middle- and low-income economies the EPU is negatively associated with REC. Similarly, the effects of financial development on REC vary across income groups. It exerts a favorable effect on REC in developed countries. On the contrary, it has a negative influence on REC in developing countries. These findings suggest that rich economies are taking benefit of REC drivers while the developing world is not exploiting the favorable role of these drivers. Finally, the study also predicts the statistically significant role of economic prosperity, trade, and inflation in explaining the REC. The study offers useful policy implications.
Subjects: 
clean energy consumption
economic policy uncertainty
trade
growth,financial development
inflation
developing economies
Creative Commons License: 
cc-by-nc Logo
Document Type: 
Article

Files in This Item:
File
Size
416.77 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.