RETRACTED: An empirical investigation of the impact of renewable and non-renewable energy consumption and economic growth on climate change, evidence from emerging Asian countries

Abstract

One of the greatest challenges facing humanity in the current millennium is the need to mitigate climate change, and one of the most viable options to overcome this challenge is to invest in renewable energy. The study dynamically examines the impact of renewable and non-renewable energy consumption and economic growth on climate change, using Augmented Mean Group (AMG) technique in emerging Asian countries during the period 1975–2020. The estimated results show that the consumption of renewable energy sources significantly mitigates climate change, while the consumption of non-renewable energy sources significantly contributes to climate change. Furthermore, economic growth, investment in transport infrastructure, and urbanization significantly accelerate climate change in specific emerging Asian countries. The results further demonstrate the validity of the inverted U-shaped EKC hypothesis in emerging Asian economies. Country-specific analysis results using AMG estimates shows that renewable energy consumption reduces climate change for all specific emerging Asian countries. However, the consumption of non-renewable energy sources and investments in transport infrastructure have significant incremental impacts on climate change in all countries. Urbanization contributes significantly to climate change, with the exception of Japan, which does not have any significant impact on climate change. The significant progressive effect of GDP and the significant adverse impact of GDP2 on climate change confirm the validity of the inverted U-shaped EKC hypothesis in India, China, Japan, and South Korea. Moreover, the Dumitrescu and Hurlin causality test confirmed a pairwise causal relationship between non-renewable energy consumption and GDP, supporting the feedback hypothesis. According to the empirical analysis of this study, the best strategy for climate change mitigation in specific emerging countries in Asia is to transition from non-renewable energy to renewable energy.

Does globalization matter in the relationship between renewable energy consumption and economic growth, evidence from Asian emerging economies

“…This result identifies renewable energy consumption as a major factor affecting economic growth in selected Asian emerging economies, which is inconsistent with the arguments of classical economics. Thus, implementing policies to expand renewable energy efficiency will boost economic growth in Asian emerging economies, consistent with previous studies by [ 25 , 28 , 47 , 49 , 50 , 116 – 119 ]. Also, gross fixed capital formation has significantly boosted economic growth in specific emerging Asian economies.…”

Nexus between Innovation–Openness–Natural Resources–Environmental Quality in N-11 Countries: What Is the Role of Environmental Tax?

“…However, foreign direct investment (FDI) can also contribute to environmental sustainability by integrating green energy, enhancing energy efficiency, and promoting technological advancements in operational procedures. Reducing harmful emissions is of utmost importance, and one effective way to achieve this is by enhancing the affordability and accessibility of low-carbon technology [141]. When countries adopt climate policies, they experience a boost in the importation of low-carbon technologies and an increase in green foreign direct investment (FDI) inflows.…”

Dynamic nonlinear CO2 emission effects of urbanization routes in the eight most populous countries

“…Following [63,118,119], this study applies the heterogeneous causality strategy of Dumitrescu and Hurlin, which has the potential to serve as an extra vigor measure to account for opposing causality deficiencies. The method can be can be demonstrated in Eq (22):…”

“…Following [ 63 , 118 , 119 ], this study applies the heterogeneous causality strategy of Dumitrescu and Hurlin, which has the potential to serve as an extra vigor measure to account for opposing causality deficiencies. The method can be can be demonstrated in Eq ( 22 ): where the factors T and y are called the pairwise order and n, i and t are the extreme lag span cross section and time, respectively.…”