Impact of oil prices, the U.S interest rates on Turkey's real estate market. New evidence from combined co-integration and bootstrap ARDL tests.

The research aims to provide new empirical evidence by testing the impact of the external shocks namely: oil prices and the U.S interest rate on Turkey's real estate market by using three techniques of co-integration tests namely: the newly developed bootstrap autoregressive distributed lag (ARDL) testing approach as proposed by (McNown et al. 2018), the new approach involving the Bayer-Hanck (2013) combined co-integration test, Hatemi-J (2008) co-integration testing approach. The ARDL model is utilized to explore the relationship between the variables. The findings show that the oil prices have a positive impact on Turkey's real estate market, the results confirm that there is a significant impact of oil prices on Turkey's real estate market through the domestic interest rate. Furthermore, the results demonstrated that there is a significant spillover influence of the U.S. interest rates on Turkey's real estate market through oil prices and domestic interest rates. This study suggests that the following factors led to increasing the sensitivity and volatility of the Turkish real estate market to oil prices and the U.S. interest rate fluctuations: the presence of economic interdependence between the USA and Turkey, and the majority of the external debts and the reserve currency in Turkey are composed in the USD, and Turkey's oil imports hit record high in last years. Finally, this article suggests that policymakers in Turkey should pay close attention to the effects of external shocks namely the oil prices and U.S. interest rates on Turkish markets to maintain economic and financial stability

Fiscal Policy, Oil Price, Foreign Direct Investment, and Renewable Energy—A Path to Sustainable Development in South Africa

Since South Africa is in pursuit of accomplishing the 2030 Sustainable Development Goals, it has become pertinent to accelerate the desired energy transition. Against this background, this work aims to evaluate the effects of oil prices, fiscal policy, and foreign direct investment on renewable energy consumption in South Africa from 1979 to 2019. Using the novel Augmented Autoregressive Distributed Lag approach, this study finds that economic growth and taxation revenues positively promote renewable energy in South Africa. In contrast, the findings show that an increase in oil prices has a negative impact on renewable energy in both short and long periods. Likewise, the research shows that foreign direct investment was not found to enhance renewable energy. The findings from fully modified-OLS, dynamic ordinary least squares, and canonical cointegrating regression models corroborate the findings of the Autoregressive Distributed Lag method. For the Granger causality inference, the findings demonstrate that there is a one-way causal connection detected from economic growth to the consumption of renewable energy. Based on these outcomes, a policy framework has been offered to help South Africa to attain the sustainable development goals

Insurance Market Development, Energy Consumption, and Turkey’s CO2 Emissions. New Perspectives from a Bootstrap ARDL Test

Many empirical studies have tested the linkage among CO2 emissions, economic growth, and consumption of energy; however, most have not tested the possible influence of insurance market development on their frameworks. This research aims to provide new perspectives on the empirical literature by exploring the role of insurance market development on environmental degradation. The study utilizes a new technique of the bootstrap Autoregressive Distributed Lag (ARDL) test as introduced by (McNown et al., 2018). The ARDL testing approach is utilized to explore the short and long linkage between the examined variables. Furthermore, the research utilized the Granger causality to explore the of causality linkage among the selected variables. The findings illustrate that economic growth and consumption of nonrenewable energy have positive influence on CO2 emissions. Furthermore, the findings illustrate that the insurance market development has a positive influence on the levels of Turkey’s carbon emissions; this finding is also confirmed through the economic growth channel. The outcomes of the current study suggested that the Turkish policy makers should make strategies and policies to ensure the sustainable development of insurance markets, to reduce environmental degradation by supporting the projects, and to invest in clean energy sources

Does the Real Estate Market and Renewable Energy Induce Carbon Dioxide Emissions? Novel Evidence from Turkey

In the literature, the linkage between income, energy, and carbon emissions has been widely examined and most of the empirical studies have not investigated the impact of the real estate market on their empirical models. Our study endeavors to present a novel topic by investigating the influence of the real estate market on Turkey’s environmental quality, using an advanced method of the Bootstrap Autoregressive Distributed Lag (BARDL). We estimate that consumption of renewable energy contributes significantly to CO2 emissions, while real income increases the environmental degradation in both the short and long run. Furthermore, our study demonstrates that the real estate market contributes negatively to the deduction of carbon emissions in Turkey. A one percent increase in the real estate market will cause a rise in Turkey’s carbon level by 0.010% and 0.009% in the short and long term, respectively. Our research suggests that Turkey should design new strategies for sustainable real estate markets to improve the environmental quality by supporting green investment projects

The Impact of Financial Development and FDI on Renewable Energy in the UAE: A Path towards Sustainable Development

Several empirical studies have explored the influence of financial development on energy consumption; however, the impact of financial development, economic growth, and FDI on renewable energy consumption (REC) has not been studied in the case of the UAE. For this purpose, the long and short-run interactions among economic growth, FDI, financial development, and renewable energy consumption are explored by applying the new technique of bootstrap autoregressive distributed lag, along with Granger causality analysis, in the context of the UAE for the period from 1989–2019. Using estimation techniques, the study reveals the main findings and implications for policymakers in the UAE. The present research provides significant empirical evidence that financial development, FDI, and economic growth can significantly increase renewable energy consumption in the UAE. Therefore, it is essential to promote financial development in the UAE in order to avert the financial risks that undermine the stability of the financial markets and that negatively affect the REC. Furthermore, policymakers in the UAE should promote the concept of green finance and should provide more funds for investments in green energy for sustainable energy development in the UAE

The Impact of Financial Development and <i>FDI</i> on Renewable Energy in the UAE: A Path towards Sustainable Development

Several empirical studies have explored the influence of financial development on energy consumption; however, the impact of financial development, economic growth, and FDI on renewable energy consumption (REC) has not been studied in the case of the UAE. For this purpose, the long and short-run interactions among economic growth, FDI, financial development, and renewable energy consumption are explored by applying the new technique of bootstrap autoregressive distributed lag, along with Granger causality analysis, in the context of the UAE for the period from 1989–2019. Using estimation techniques, the study reveals the main findings and implications for policymakers in the UAE. The present research provides significant empirical evidence that financial development, FDI, and economic growth can significantly increase renewable energy consumption in the UAE. Therefore, it is essential to promote financial development in the UAE in order to avert the financial risks that undermine the stability of the financial markets and that negatively affect the REC. Furthermore, policymakers in the UAE should promote the concept of green finance and should provide more funds for investments in green energy for sustainable energy development in the UAE

Mediating role of stock market volatility to evaluate asymmetries in the growth-degradation nexus in Nigeria

This study explores the mediating role of stock market volatility in the economic growth and environmental degradation nexus in Nigeria using data covering period from 1984 until 2020. The study uses Nonlinear Autoregressive Distributed Lag (NARDL) and a nonparametric asymmetric causality model. While the Wald test in model 1 reveals evidence of weak long-run asymmetric nexus between CO2 and economic growth however, findings in model 2 indicates that stock market volatility (SMV) exerts a strong asymmetric effect in growth-CO2 relation in the long-run. The result of nonlinear model validates the inverted U-shaped growth-degradation nexus consistent with EKC hypothesis. The finding in model 1 reveals that investment exerts a strong impact on CO2 in both the short-run and long-run. On the other hand, the results in model 2 show that the positive component of economic growth has a positive and significant impact on CO2 in Nigeria. However, the negative component of economic growth has a negative impact on CO2. Moreover, the dynamic causality model reveals: (i) a feedback causality between CO2 and the negative component of GDP; and (ii) a unidirectional causality flowing from CO2 to the positive component of GDP. Similarly, result of nonlinear causality test reveals a feedback causality between CO2 and GDP. The implication of the finding suggests that while asymmetric properties of economic growth must be controlled in efforts of promoting environmental sustainability, the stock market has a dedicated role to play in widening access to funds for green investment in Nigeria and other developing economies

Do Oil Price, Renewable Energy, and Financial Development Matter for Environmental Quality in Oman? Novel Insights from Augmented ARDL Approach

As an oil-exporting country, Oman traditionally relies on oil sources to meet its energy demand. The country has not been able to safeguard its environment from carbon emissions (CO2)-related adversities. In this context, this study evaluated the impacts of the price of oil, financial development, economic growth, and nonrenewable energy on the environmental quality in Oman. The research used the recently developed augmented autoregressive distributed lag (ARDL) approach to investigate annual data from 1980 to 2018. The outcomes revealed the following: (i) financial development negatively affected ecological quality in the short and long term; (ii) oil prices positively impact carbon emissions in the long term; however, the price of oil does not significantly influence CO2 emissions in the short term; (iii) nonrenewable energy is harmful for ecological quality over both the short and long term; (iv) there is a causal link among financial development, nonrenewable energy, and carbon emissions. The current research outcomes present valuable findings for Oman’s policymakers in heading toward sustainable financial and energy sectors

Exploring the Impacts of Banking Development, and Renewable Energy on Ecological Footprint in OECD: New Evidence from Method of Moments Quantile Regression

Although previous related studies illustrate several factors that reduce and eliminate ecological pollution, empirical evidence that examines the impact of banking development on footprint ecological quality is missed. This study explores the impact of banking development, renewable energy consumption, and economic growth on the ecological footprint of 27 OECD countries spanning data from 1990 to 2018. Using the method of moments quantile regression (MMQR), the results indicated that a 1% increase in banking expansion is projected to augment the ecological footprint in the OECD nations across all quantiles (first to ninth). Thus, the results affirm that banking development dampens ecological sustainability in the OECD nations. In contrast, the results indicate that renewable energy promotes ecological sustainability in the OECD nations across all quantiles (first to ninth). The empirical findings suggest that OECD policymakers should regard banking and economic development as a “green energy fostering mechanism” while designing policies to promote ecological friend energy sources. Moreover, as part of their core mandates, central banks, and regulatory authorities should promote financial innovation in the banking sector to mobilize the required capital to facilitate nature conservation and restoration

Exploring the Impacts of Banking Development, and Renewable Energy on Ecological Footprint in OECD: New Evidence from Method of Moments Quantile Regression

Although previous related studies illustrate several factors that reduce and eliminate ecological pollution, empirical evidence that examines the impact of banking development on footprint ecological quality is missed. This study explores the impact of banking development, renewable energy consumption, and economic growth on the ecological footprint of 27 OECD countries spanning data from 1990 to 2018. Using the method of moments quantile regression (MMQR), the results indicated that a 1% increase in banking expansion is projected to augment the ecological footprint in the OECD nations across all quantiles (first to ninth). Thus, the results affirm that banking development dampens ecological sustainability in the OECD nations. In contrast, the results indicate that renewable energy promotes ecological sustainability in the OECD nations across all quantiles (first to ninth). The empirical findings suggest that OECD policymakers should regard banking and economic development as a &ldquo;green energy fostering mechanism&rdquo; while designing policies to promote ecological friend energy sources. Moreover, as part of their core mandates, central banks, and regulatory authorities should promote financial innovation in the banking sector to mobilize the required capital to facilitate nature conservation and restoration