Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach

One of the major concerns for environmental quality improvement is to reduce reliance on fossil energy consumption. However, there is a possibility that economic developments like foreign direct investment (FDI), urbanization, innovation and renewable energy consumption can mitigate carbon emiss...

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Main Authors: Shrikant Krupasindhu Panigrahi, Sumathi Kumaraswamy, Sasikanta Tripathy, Rabab Hasan Ebrahim
Format: Article
Language:English
Published: EconJournals 2024-12-01
Series:International Journal of Energy Economics and Policy
Subjects:
Online Access:https://econjournals.com./index.php/ijeep/article/view/17027
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author Shrikant Krupasindhu Panigrahi
Sumathi Kumaraswamy
Sasikanta Tripathy
Rabab Hasan Ebrahim
author_facet Shrikant Krupasindhu Panigrahi
Sumathi Kumaraswamy
Sasikanta Tripathy
Rabab Hasan Ebrahim
author_sort Shrikant Krupasindhu Panigrahi
collection DOAJ
description One of the major concerns for environmental quality improvement is to reduce reliance on fossil energy consumption. However, there is a possibility that economic developments like foreign direct investment (FDI), urbanization, innovation and renewable energy consumption can mitigate carbon emission and curb environmental quality issues. Hence this examines the impact of innovation, FDI, renewable energy consumption and urbanization on the environmental quality of 46 countries for the period of 1990-2021. The study employed pooled mean group auto regressive distributed lag stationarity estimator for the empirical results. The study findings depict that in the long run, trade openness and innovation positively influence environmental quality, whereas FDI does not significantly affect environmental quality deterioration. Renewable energy consumption plays an important role in relying on fossil energy consumption and reducing carbon emissions. This study gives insights into necessary policy endorsements for the sustainability of environment through innovation.
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institution Kabale University
issn 2146-4553
language English
publishDate 2024-12-01
publisher EconJournals
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series International Journal of Energy Economics and Policy
spelling doaj-art-9ceccb5786d848bbbfcac4ae9608c6bc2024-12-23T01:04:07ZengEconJournalsInternational Journal of Energy Economics and Policy2146-45532024-12-0115110.32479/ijeep.17027Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL ApproachShrikant Krupasindhu Panigrahi0Sumathi Kumaraswamy1Sasikanta Tripathy2Rabab Hasan Ebrahim3Economics and Finance Department, University of Bahrain, Sakhir Campus, BahrainEconomics and Finance Department, University of Bahrain, Sakhir Campus, BahrainEconomics and Finance Department, University of Bahrain, Sakhir Campus, BahrainEconomics and Finance Department, University of Bahrain, Sakhir Campus, Bahrain One of the major concerns for environmental quality improvement is to reduce reliance on fossil energy consumption. However, there is a possibility that economic developments like foreign direct investment (FDI), urbanization, innovation and renewable energy consumption can mitigate carbon emission and curb environmental quality issues. Hence this examines the impact of innovation, FDI, renewable energy consumption and urbanization on the environmental quality of 46 countries for the period of 1990-2021. The study employed pooled mean group auto regressive distributed lag stationarity estimator for the empirical results. The study findings depict that in the long run, trade openness and innovation positively influence environmental quality, whereas FDI does not significantly affect environmental quality deterioration. Renewable energy consumption plays an important role in relying on fossil energy consumption and reducing carbon emissions. This study gives insights into necessary policy endorsements for the sustainability of environment through innovation. https://econjournals.com./index.php/ijeep/article/view/17027Energy Efficiency, Climate Change, Environmental Quality, Financial Market
spellingShingle Shrikant Krupasindhu Panigrahi
Sumathi Kumaraswamy
Sasikanta Tripathy
Rabab Hasan Ebrahim
Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
International Journal of Energy Economics and Policy
Energy Efficiency, Climate Change, Environmental Quality, Financial Market
title Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
title_full Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
title_fullStr Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
title_full_unstemmed Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
title_short Does Environmental Innovation, Foreign Direct Investment and Renewable Energy Consumption Curb Environmental Quality Issues? Evidence from PMG-ARDL Approach
title_sort does environmental innovation foreign direct investment and renewable energy consumption curb environmental quality issues evidence from pmg ardl approach
topic Energy Efficiency, Climate Change, Environmental Quality, Financial Market
url https://econjournals.com./index.php/ijeep/article/view/17027
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