Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/228061
Authors: 
Asongu, Simplice
Odhiambo, Nicholas M.
Year of Publication: 
2020
Series/Report no.: 
AGDI Working Paper No. WP/20/084
Abstract: 
The study investigates linkages between financial development, income inequality and renewable energy consumption from 39 countries in Sub-Saharan Africa. The empirical evidence is based on data for the period 2004-2014, Generalized Method of Moments (GMM) and Quantile Regressions (QR). The GMM results show that financial development unconditionally promotes renewable energy consumption while income inequality counteracts the underlying positive effect. The QR results reveal that the GMM findings only withstand empirical validity in bottom quantiles of the renewable energy consumption distribution. In order to increase room for policy implications for the promotion of renewable energy consumption, critical masses of income inequality that should not be exceeded are computed for bottom quantiles of the renewable energy consumption distribution while income inequality thresholds that should be exceeded are computed for top quantiles of the renewable energy consumption distribution. The study reconciles two strands of the literature. Theoretical, practical and policy implications are discussed.
Subjects: 
Renewable energy
Inequality
Finance
Sub-Saharan Africa
Sustainable development
JEL: 
H10
Q20
Q30
O11
O55
Document Type: 
Working Paper

Files in This Item:
File
Size





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