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The effect of energy consumption on the environment in the OECD countries: economic policy uncertainty perspectives. | LitMetric

The effect of energy consumption on the environment in the OECD countries: economic policy uncertainty perspectives.

Environ Sci Pollut Res Int

Faculty of Economics Administrative and Social Sciences, Department of International Logistics and Transportation, Istanbul Gelisim University, Istanbul, Turkey.

Published: October 2021

In this paper, we investigate the impact of energy use and economic policy uncertainties on the environment. To achieve this objective, we use the pooled mean group-autoregressive distributed lag methodology (PMG-ARDL) and Dumitrescu and Hurlin causality test on 22 Organisation for Economic Co-operation and Development (OECD) countries between 1985 and 2017. The PMG-ARDL estimation shows that energy use and economic policy uncertainties have a positive relationship with carbon dioxide emission (CO) emission, while a negative relationship is confirmed between renewable and CO emissions in the long run. The short-run estimation shows a positive relationship between energy use, real gross domestic product, and per capita on CO emissions. The Dumitrescu and Hurlin causality results highlight a unidirectional running from real GDP and GDP per capita square to CO emissions. Furthermore, one-way causality exists between CO emissions to economic policy uncertainties. These results have policy implications on the macroeconomy which are discussed in detail in the concluding section.

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Source
http://www.ncbi.nlm.nih.gov/pmc/articles/PMC8130785PMC
http://dx.doi.org/10.1007/s11356-021-14463-8DOI Listing

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