Public-Private Partnerships Investment in Energy as New Determinant of CO2 Emissions: The Role of Technological Innovations in China

This paper explores the relationship between ‘public-private partnerships investment in energy sector and carbon emissions’ considering the vital role of technological innovations in carbon emissions function for China. In doing so, we apply bootstrapping autoregressive distributed lag modeling (BARDL) for examining the cointegration between carbon emissions and its determinants. The empirical results reveal that public-private partnerships investment in energy impedes environmental quality by increasing carbon emissions. On contrary, technological innovations have negative effect on carbon emissions. The relationship between economic growth and carbon emissions is inverted-U shaped i.e. environmental Kuznets curve hypothesis. Exports are positively linked with carbon emissions. Foreign direct investment impedes environmental quality by stimulating CO2 emissions. The empirical findings provide new insights for policy makers to direct public-private partnerships investment in energy for the betterment of environmental quality in China

Analyzing Technology-Emissions Association in Top-10 Polluted MENA Countries: How to Ascertain Sustainable Development by Quantile Modeling Approach

This study investigates the relationship between technological progression and ambient air pollution in top-10 polluted Middle East and North African (MENA) countries by using monthly data for the period of 1990-2017. The Quantile cointegration proposed by Xiao (2009), Quantile-on-Quantile regression (QQ) proposed by Sim and Zhou (2015), and Quantile Autoregressive Granger causality developed by Troster (2018) are applied. In particular, we examine to which extent, quantiles of technological progression affect the quantiles of ambient air pollution, by developing separate indicators for both the mentioned aspects using Principal Component Analysis (PCA). Our empirical findings unfold mutual dependence between technological progression and ambient air pollution. Furthermore, the results of Quantile Autoregressive Granger causality test conclude a bidirectional causal relationship between technological progression and ambient air pollution

Public-Private Partnerships Investment in Energy as New Determinant of CO2 Emissions: The Role of Technological Innovations in China

This paper explores the relationship between ‘public-private partnerships investment in energy sector and carbon emissions’ considering the vital role of technological innovations in carbon emissions function for China. In doing so, we apply bootstrapping autoregressive distributed lag modeling (BARDL) for examining the cointegration between carbon emissions and its determinants. The empirical results reveal that public-private partnerships investment in energy impedes environmental quality by increasing carbon emissions. On contrary, technological innovations have negative effect on carbon emissions. The relationship between economic growth and carbon emissions is inverted-U shaped i.e. environmental Kuznets curve hypothesis. Exports are positively linked with carbon emissions. Foreign direct investment impedes environmental quality by stimulating CO2 emissions. The empirical findings provide new insights for policy makers to direct public-private partnerships investment in energy for the betterment of environmental quality in China

The Renewable Energy Consumption-Environmental Degradation Nexus in Top-10 Polluted Countries: Fresh Insights from Quantile-on-Quantile Regression Approach

This empirical examination explored the link between renewable energy utilization and environmental degradation in top-10 polluted countries by using monthly data from 1990-2017. The Quantile-on-Quantile regression (QQ) proposed by Sim and Zhou (2015) and Granger causality in quantiles developed by Troster (2018) are applied. In particular, we examine in what manners, quantiles of renewable energy consumption affect the quantiles of environmental degradation. Our empirical findings unfold overall dependence between renewable energy consumption and ecological deterioration. The findings recommend the presence of a significant negative association between renewable energy consumption and environmental degradation in China, USA, Japan, Canada, Brazil, South Korea and Germany, predominantly in high and low tails but results are totally contrasting in the case of India, Russia and Indonesia. Furthermore, the outcomes of Granger-causality in quantiles conclude a bidirectional causal link between renewable energy consumption and environmental degradation. The empirical findings suggest that governments should need to subsidize green energy in declining ecological degradation

Impact of FDI on Economic Growth in Developing Countries: Role of Human Capital

Economic theory proposes that FDI is one of the primary driving forces for stimulating growth (Barro and Sala-i-Martin 1995). Researchers still debate whether the interpretation of the direct effect of FDI on economic growth is inconclusive, whereas the significance of the absorptive capacity of host countries is commonly emphasized (e.g., Borensztein, De Gregorio, and Lee 1998; De Mello Jr. 1999; Alfaro et al. 2004; Makki and Somwaru 2004; Gönel and Aksoy, 2016). Such uncertainty may be the result of ignoring the effect of certain conditioning variables. This study aims to empirically explore whether FDI contributes to economic growth and whether the effect varies with the human capital development level in a panel data set of 70 developing economies from 1980 to 2015. The study employs the General Methods of Moments estimation instrumental variable technique to deal with the endogeneity issue. The empirical investigation shows that human capital threshold exists above which FDI exhibits a positive impact and below where it shows a detrimental effect on economic growth. Findings may help policymakers in selected developing countries to take advantage of the increasing international investment by considering domestic human capital development level

Asymmetric impact of renewable and non-renewable energy on economic growth in Pakistan: New evidence from a nonlinear analysis

This paper explores the asymmetric relationship between renewable energy consumption, non-renewable energy, and terrorism on economic growth of Pakistan. We applied a novel econometric cointegration method known as a nonlinear autoregressive distributed lag modeling (NARDL). Our empirical findings indicate that positive and negative changes have a significant long-run asymmetric relationship between renewable energy, and terrorism on economic growth. We also found a negative and significant effect of non-renewable energy consumption on economic growth. To keep our environment clean and free of emissions, the study specifies policies that rely on renewable energy sources to boost economic growth. However, reduces terrorism has a positive impact on economic growth in the long-run and shows as an influential tool to combat terrorism in Pakistan. These novel results will help policy-makers and government officials to understand better the role of renewable energy and economic growth in Pakistan's development

Analyzing Nonlinear Impact of Economic Growth Drivers on CO2 Emissions: Designing an SDG Framework for India

Several Asian countries are facing challenges regarding accomplishment of the objectives of Sustainable Development Goals (SDGs), and India is facing a similar situation. Following this, this study talks about designing an SDG framework for India, which can be used as a benchmark for the other Asian countries. In this pursuit, this study looks into whether per capita income, energy use, trade openness, and oil price have any impact on CO2 emissions between 1980 and 2019. The nonlinear autoregressive distributed lag approach proves that the fluctuations in independent variables have an asymmetric long-term impact on CO2 emissions. The results reveal that the prevailing economic growth pattern in India is environmentally unsustainable, because of its dependence on fossil fuel-based energy consumption and imported crude oil. Import substitution has been identified as one of the first stepping stones to address this issue, and accordingly, a multipronged SDG framework has been designed based on the direct and extended version of the study outcomes. While the Central policy framework shows a way to address SDG 7, SDG 8, SDG 12, and SDG 13, the Tangential policy framework shows the way to sustain the Central policy framework by addressing SDG 4

Resource Curse Hypothesis and Role of Oil Prices in USA

This paper employs an augmented production function to examine resource curse hypothesis by incorporating oil prices as an additional determinant of economic growth. In doing so, the bounds testing approach to cointegration is applied in the presence of structural breaks in the series. The directional of causal association between the variables is examined by applying the VECM Granger causality approach. The empirical results show the existence of long run relationship between the variables. Moreover, natural resource abundance is negatively linked with economic growth confirms the validation of resource curse hypothesis. The nonlinear relationship between natural resource abundance and economic growth is inverted U-shaped. Oil prices add in economic growth. Capitalization increases economic growth. Labor boosts economic growth. The causality analysis reveals the unidirectional causal relationship running from natural resource abundance to economic growth. The feedback effect exists between oil prices and economic growth. Capitalization causes economic growth and in return, economic growth causes capitalization in Granger sense

Determinants of FDI in France: Role of Transport Infrastructure, Education, Financial Development and Energy Consumption

This paper explores the effect of education and transportation infrastructure on foreign direct investment for the French economy over the period of 1965-2017. Economic growth, financial development and electricity consumption are also considered as additional determinants of foreign direct investment. In so doing, the SOR unit root test is applied in order to examine unit root properties of variables in the presence of sharp and smooth structural breaks in the series. To examine the presence of cointegration between the variables, the bootstrapping ARDL cointegration test is applied. The empirical results show the presence of cointegration between the variables. Education and transportation add to foreign direct investment. Financial development declines foreign direct investment. The relationship between electricity consumption (economic growth) and foreign direct investment is bidirectional. The nonlinear relationship between education (transportation infrastructure) and foreign direct investment is U-shaped