The relationship among renewable energy, economic growth, labor and capital formation in Italy

Titolo Rivista RIVISTA DI STUDI SULLA SOSTENIBILITA'
Autori/Curatori Cosimo Magazzino, Gordon L. Brady
Anno di pubblicazione 2018 Fascicolo 2018/1
Lingua Inglese Numero pagine 14 P. 35-48 Dimensione file 281 KB
DOI 10.3280/RISS2018-001005
Il DOI è il codice a barre della proprietà intellettuale: per saperne di più clicca qui

Qui sotto puoi vedere in anteprima la prima pagina di questo articolo.

Se questo articolo ti interessa, lo puoi acquistare (e scaricare in formato pdf) seguendo le facili indicazioni per acquistare il download credit. Acquista Download Credits per scaricare questo Articolo in formato PDF

Anteprima articolo

FrancoAngeli è membro della Publishers International Linking Association, Inc (PILA)associazione indipendente e non profit per facilitare (attraverso i servizi tecnologici implementati da CrossRef.org) l’accesso degli studiosi ai contenuti digitali nelle pubblicazioni professionali e scientifiche

This study investigates the nexus between renewable energy consumption and economic growth in Italy in the 1970-2007 years. The unit root tests results point out that our four variables are integrated of order one. Cointegration analysis reach contradictory results. However, the long-run estimations reveal that, if renewable energy consumption increases by 1%, real GDP decreases by 0.23%. The Toda and Yamamoto approach shows that exists a unidirectional causal flow, running from renewable energy consumption to aggregate income, in line with the "growth hypothesis". Moreover, these results are confirmed by Granger causality tests. While forecasts applications set out that VAR forecasts represent an improvement on simpler forecasts in more than half the comparisons, for each variable. In fact, VAR gives more accurate forecasts, over-performing the mean, RW, and AR methods.

Keywords:Renewable energy consumption, GDP; time series; Italy.

Jel codes:B22; C32; N54; Q43.

  1. Alam M.J., Begum I.A., Buysse J., Van Huylenbroeck G. (2012). Energy consumption, carbon emissions and economic growth nexus in Bangladesh: Cointegration and dynamic causality analysis. Energy Policy, 45: 217-225.
  2. Apergis N., Danuletiu D. (2012). Energy Consumption and Growth in Romania: Evidence from a Panel Error Correction Model. International Journal of Energy Economics and Policy, 2(4): 348-356.
  3. Apergis N., Payne J.E. (2009). Energy consumption and economic growth in Central America: evidence from a panel cointegration and error correction model. Energy Economics, 31: 211-216.
  4. Apergis N., Payne J.E. (2010). Renewable energy consumption and growth in Eurasia. Energy Economics, 32: 1392-1397.
  5. Apergis N., Payne J.E. (2014). The electricity consumption-growth nexus: renewable versus non-renewable electricity in Central America. Energy Sources, Part B, 7: 423-431.
  6. Banerjee A., Dolado J., Mestre R. (1998). Error-correction Mechanism Tests for Cointegration in a Single-equation Framework. Journal of Time Series Analysis, 19(3): 267-283.
  7. Bastianelli F. (2006). La politica energetica dell’Unione Europea e la situazione dell’Italia. La comunità internazionale, 61: 443-468.
  8. Bayer C., Hanck C. (2013). Combining non-cointegration tests. Journal of Time Series Analysis, 34(1): 83-95.
  9. Becketti S. (2013). Introduction to Time Series Using Stata. College Station, Texas: Stata Press.
  10. Bo S. (2011). A Literature Survey on Environmental Kuznets Curve. Energy Procedia, 5: 1322-1325.
  11. Boswijk H.P., Doornik J.A. (2005). Distribution approximations for cointegration tests with stationary exogenous regressors. Journal of Applied Econometrics, 20(6): 797-810.
  12. Chontanawat J., Hunt L.C., Pierse R. (2008). Does energy consumption cause economic growth? Evidence from a systematic study of over 100 countries. Journal of Policy Modeling, 30: 209-220.
  13. Ciarreta A., Zarraga A. (2010). Economic growth and electricity consumption in 12 European Countries: a causality analysis using panel data. Energy Policy, 38(7): 3790-3796.
  14. Colangelo A. (2011). Le regioni ed il territorio. In: Caminiti N.M. (ed.). Politiche e misure nazionali sui cambiamenti climatici. Rome: ENEA.
  15. Dickey D.A., Fuller W.A. (1979). Distribution of the estimators for autoregressive time series with a unit root. Journal of the American Statistical Association, 74: 427-431.
  16. Dinda S. (2004). Environmental Kuznets Curve Hypothesis: a Survey. Ecological Economics, 49: 431-455.
  17. Elliott G., Rothenberg T.J., Stock J.H. (1996). Efficient tests for an autoregressive unit root. Econometrica, 64: 813-836.
  18. Engle R.E., Granger C.W.J. (1987). Co-integration and error correction: Representation, estimation and testing. Econometrica, 55: 251-276.
  19. Granger C.W.J. (1969). Investigating causal relations by econometric models and cross-spectral methods. Econometrica, 37: 424-438.
  20. Gregory A.W., Hansen B.E. (1996). Residual-Based Tests for Cointegration in Models with Regime Shifts. Journal of Econometrics, 70(1): 99-126.
  21. Kula F. (2014). The Long-run Relationship Between Renewable Electricity Consumption and GDP: Evidence From Panel Data. Energy Sources, Part B, 9(2): 156-160.
  22. Kuznets S. (1955). Economic Growth and Income Inequality. American Economic Review, 45(1): 1-28.
  23. Kwiatkowski D., Phillips P.C.B., Schmidt P., Shin Y. (1992). Testing the null hypothesis of stationarity against the alternative of a unit root: How sure are we that economic time series have a unit root?. Journal of Econometrics, 54: 159-178.
  24. Lee C.C. (2006). The causality relationship between energy consumption and GDP in G-11 countries revisited. Energy Policy, 34: 1086-1093.
  25. Lee C.C., Chang C.P., Chen P.F. (2008). Energy-income causality in OECD countries revisited: the key role of capital stock. Energy Economics, 30: 2359-2373.
  26. Lee C.C., Chien M.S. (2010). Dynamic modelling of energy consumption, capital stock, and real income in G-7 countries, Energy Economics, 32, 564-581.
  27. Magazzino, C., (2012), On the Relationship between Disaggregated Energy Production and GDP in Italy. Energy & Environment, 23(8): 1191-1207.
  28. Magazzino C. (2014). Electricity Demand, GDP and Employment: Evidence from Italy. Frontiers in Energy, 8(1): 31-40.
  29. Magazzino C. (2015). Energy consumption and GDP in Italy: cointegration and causality analysis. Environment Development and Sustainability, 17(1): 137-153.
  30. Magazzino C. (2016). The relationship between CO2 emissions, energy consumption and economic growth in Italy. International Journal of Sustainable Energy, 35(9): 844-857.
  31. Magazzino C. (2017). GDP, Energy Consumption and Financial Development in Italy. International Journal of Energy Sector Management, forthcoming.
  32. Magazzino C., Giolli L. (2014). A Time Series Analysis of the Aggregate Income-Energy Consumption Nexus: the Case of Italy. The Journal of Energy and Development, 39(1-2): 219-227.
  33. Narayan P.K., Prasad A. (2008). Electricity consumption-real GDP causality nexus: evidence from a bootstrapped causality test for 30 OECD countries. Energy Policy, 36: 910-918.
  34. Narayan P.K., Smyth R. (2008). Energy consumption and real GDP in G7 countries: new evidence from panel cointegration with structural breaks. Energy Economics, 30: 2331-2341.
  35. Ocal O., Aslan A. (2013). Renewable energy consumption-economic growth nexus in Turkey. Renewable and Sustainable Energy Reviews, 28: 494-499.
  36. Ozturk I. (2010). A literature survey on energy-growth nexus. Energy Policy, 38: 340-349.
  37. Payne J.E. (2010). A survey of the electricity consumption-growth literature. Applied Energy, 87: 723-731.
  38. Phillips P.C.B., Perron P. (1988). Testing for a unit root in time series regression. Biometrika, 75: 335-346.
  39. Sadorsky P. (2009). Renewable energy consumption, CO2 emissions and oil prices in the G7 countries. Energy Economics, 31: 456-462.
  40. Sari R., Ewing B.T., Soytas U. (2008). The relationship between disaggregate energy consumption and industrial production in the United States: an ARDL approach. Energy Economics, 30: 2302-2313.
  41. Soytas U., Sari R. (2003). Energy consumption and GDP: causality relationship in G-7 countries and emerging markets. Energy Economics, 25: 33-37.
  42. Soytas U., Sari R. (2006). Energy consumption and income in G7 countries. Journal of Policy Modeling, 28: 739-750.
  43. Toda H.Y., Yamamoto T. (1995). Statistical inference in vector autoregressions with possibly integrated processes. Journal of Econometrics, 66(1-2): 225-250.
  44. Tugcu C.C., Ozturk I., Aslan A. (2012). Renewable and Non-Renewable Energy Consumption and Economic Growth Relationship Revisited: Evidence from G7 Countries. Energy Economics, 34(6): 1942-1950.
  45. Vaona A. (2012). Granger non-causality tests between (non)renewable energy consumption and output in Italy since 1861: The (ir)relevance of structural breaks. Energy Policy, 45: 226-236.
  46. Yang H.Y. (2000). A note on the causal relationship between energy and GDP in Taiwan. Energy Economics, 22(3): 309-317.
  47. Zachariadis T. (2007). Exploring the relationship between energy use and economic growth with bivariate models: New evidence from G-7 countries. Energy Economics, 29: 1233-1253.
  48. Ziramba E. (2009). Disaggregate energy consumption and industrial production in South Africa. Energy Policy, 37: 2214-2220.

  • Capitalizing on natural resources rent and renewable energy in enhancing economic growth—New evidence with MMQR method Musbau Omotola Kadir, Abraham Deka, Mehdi Seraj, Huseyin Ozdeser, in Natural Resources Forum 1477-8947.12536/2024
    DOI: 10.1111/1477-8947.12536
  • Revisiting the dynamic interactions between economic growth and environmental pollution in Italy: evidence from a gradient descent algorithm Marco Mele, Cosimo Magazzino, Nicolas Schneider, Floriana Nicolai, in Environmental Science and Pollution Research /2021 pp.52188
    DOI: 10.1007/s11356-021-14264-z
  • Insights of resources productivity and green technologies impact on renewable energy consumption: Novel MMQR approach Magdalena Radulescu, Abdulkadir Barut, Kamel Si Mohammed, Abdelmohsen A. Nassani, Ibrahim Cutcu, in Geological Journal /2024 pp.3033
    DOI: 10.1002/gj.5044
  • Economic Advancement and Renewable Energy Transition: Exploring the Integral Role of Trade Openness, Digital Transition, and Urbanization Among the NAFTA Economies John Wiredu, Qian Yang, Agyemang Kwasi Sampene, Shadi Saljoughipour, in Journal of the Knowledge Economy /2024
    DOI: 10.1007/s13132-024-02564-x
  • Renewable energy and economic growth hypothesis: Evidence from N-11 countries Peijun Xie, Zili Zhu, Guangyun Hu, Jun Huang, in Economic Research-Ekonomska Istraživanja 2121741/2023
    DOI: 10.1080/1331677X.2022.2121741
  • How renewable energy and service growth influence environmental quality: Evidence from a sustainable development perspective Imen Chaouali, Mehdi Ben Jebli, Wadim Strielkowski, in Natural Resources Forum /2023 pp.257
    DOI: 10.1111/1477-8947.12280
  • The impact of energy efficiency in reducing environmental degradation: does renewable energy and forest resources matter? Abraham Deka, Suleiman Yakubu Bako, Huseyin Ozdeser, Mehdi Seraj, in Environmental Science and Pollution Research /2023 pp.86957
    DOI: 10.1007/s11356-023-28434-8
  • Renewable energy, economic growth and sustainable development: A model development in the light of empirical insights Narayan Parab, Ramashanti Naik, Y. V. Reddy, in Natural Resources Forum /2024 pp.572
    DOI: 10.1111/1477-8947.12337

Cosimo Magazzino, Gordon L. Brady, The relationship among renewable energy, economic growth, labor and capital formation in Italy in "RIVISTA DI STUDI SULLA SOSTENIBILITA'" 1/2018, pp 35-48, DOI: 10.3280/RISS2018-001005