23 research outputs found
An investigation of renewable and non-renewable energy consumption and economic growth nexus using industrial and residential energy consumption
Our study shows that links between economic growth and energy consumption (both expressed in per capita terms) differed for renewables and non-renewables for income panels over the period 1971 to 2011. Renewables are mainly found to support the neutrality hypothesis. Only renewable totals in low and lower middle income (LLMI) countries are found to drive economic growth. The feedback, growth and conservative hypotheses strongly feature with non-renewables (total and industrial). Our results are derived by linking different definitions of energy consumption with economic growth for 89 countries divided into LLMI; upper middle income (UMI);
and high income (HI) panels
Does FDI influence renewable energy consumption? An analysis of sectoral FDI impact on renewable and non-renewable industrial energy consumption
This study examines the link between foreign direct investment (FDI) and energy demand. FDI is a source of financing that allows businesses to grow. At the same time, FDI can be a source of innovation that promotes energy efficiency. Existing evidence on the impact of aggregate FDI inflows on energy consumption is scarce and inconclusive. In the current study, we disaggregate FDI inflows into mining, manufacturing, total services, and financial services components and examine the impact of these FDI flows on renewable - and non-renewable industrial energy - sources for 74 countries for the period 1985-2012. We employ a Blundell-Bond dynamic panel estimator to control for endogeneity and omitted variable biases in our panels. The results point broadly to an energy consumption-reducing effect with respect to non-renewable sources of energy and an energy consumption-augmenting effects with respect to renewable energy. We find that these effects vary in magnitude and significance by sectoral FDI
Petroleum consumption and economic growth relationship: evidence from the Indian States
This paper reveals that over the period 1985-2013, the wealthier states of India experienced a prevalence of the feedback hypothesis between real gross domestic product growth and petroleum consumption in the short run and the long run. Over the short term, the whole (major) 23 Indian state panels show support for the conservative hypothesis. Regarding the panels comprising low- and middle-income Indian states, although there appeared to be significant bidirectional effects in the long run, none of the results suggest that energy consumption increases economic growth. This implies that growth in energy demand can be controlled without harming economic
growth. The results, however, indicate that for the low- and middle-income states, increases in petroleum consumption could adversely affect economic activity in the short and long run. These findings relate to the aggregate data on petroleum. Examining the short-run and long-run energy-growth linkages using disaggregated data on petroleum consumption reveals that only a few types of petroleum products have stable long-run relationships with economic growth. In fact, with disaggregated petroleum data, the vector error correction model (VECM) and cointegration results support the neutral hypothesis for high-incomes states. For the low- and middle-income groups, while the conservation effect is found to prevail in the short run and the long run, higher economic growth appears to reduce consumption of selected types of petroleum products
Public Spending During Growth Accelerations and Decelerations: Exploring the Interaction of the Business Cycle and Control of Corruption
Who Gains from Services FDI—Host or Home Economies? An Analysis of Disaggregated Services FDI Inflows and Outflows of 24 European Economies
This study focuses on a sample of 24 European economies to examine the spillovers from disaggregated services foreign direct investment (FDI) on economic growth. We study the impact of 20 disaggregated services FDI inflows and outflows, respectively, on their host and home country services sector and overall growth. We find that both financial services and business services FDI are beneficial for growth in both host and home countries. Financial services FDI works though financial holding companies and home countries benefit especially from investment in foreign banks, which provides access to credit. Business services FDI works though management holding companies and home countries benefit, especially from investment in computer activities, which provides access to specialised human capital and high-value knowledge assets. The positive spillovers to home countries provide evidence for arguing against protectionism.
JEL Codes: F2, F21, F4