Nooshin Karimi Alavijeh, Mohammad Taher Ahmadi Shadmehri, Fatemeh Dehdar, Samane Zangoei and Nazia Nazeer
While science has researched the impact of air pollution on human health, the economic dimension of it has been less researched so far. Renewable energy consumption is an…
Abstract
Purpose
While science has researched the impact of air pollution on human health, the economic dimension of it has been less researched so far. Renewable energy consumption is an important factor in determining the level of life expectancy and reducing health expenditure. Thus, this study aims to investigate the impact of renewable energy, carbon emissions, health expenditure and urbanization on life expectancy in G-7 countries over the period of 2000–2019.
Design/methodology/approach
This study has adopted a novel Method of Moments Quantile Regression (MMQR). Furthermore, as a robustness check for MMQR, the fully modified ordinary least square, dynamic ordinary least squares and fixed effect ordinary least square estimators have been used.
Findings
The results indicated that renewable energy consumption, health expenditure and urbanization lead to an increase in life expectancy across all quantiles (5th to 95th), whereas higher carbon dioxide emissions reduce life expectancy at birth across all the quantiles (5th to 95th).
Practical implications
The empirical findings conclude that governments should recognize their potential in renewable energy sources and devise policies such as tax-related regulations, or relevant incentives to encourage further investments in this field.
Originality/value
This paper in comparison to the other research studies used MMQR to investigate the impact of factors affecting life expectancy. Also, to the best of the authors’ knowledge, so far no study has investigated the impact of renewable energy on life expectancy in G-7 countries.
Details
Keywords
Nooshin Karimi Alavijeh and Samane Zangoei
Expansion of the consumption of renewable energy is a significant issue for reducing global warming, to cope with climate change and achieve sustainable development. This study…
Abstract
Purpose
Expansion of the consumption of renewable energy is a significant issue for reducing global warming, to cope with climate change and achieve sustainable development. This study aims to examine how research and development expenditure (R&D) affects renewable energy development in developed G-7 countries over the period from 2000 to 2019. Variables of trade liberalization and CO2 emissions are considered control variables.
Design/methodology/approach
This study has adopted a panel quantile regression. The impact of the variables on renewable development has been examined in quantiles of 0.1, 0.25, 0.5, 0.75 and 0.9. Also, a robust examination is accomplished by applying generalized quantile regression (GQR).
Findings
The empirical findings reveal a positive and significant relationship between R&D and the consumption of renewable energy in 0.1, 0.25, 0.5 and 0.75 quantiles. Also, the findings describe that the expansion of trade liberalization and CO2 emissions can significantly increase the development of renewable energy in G-7 countries. Furthermore, GQR verifies the main outcomes.
Practical implications
These results have very momentous policy consequences for the governments of G-7 countries. Therefore, investment and support for the R&D section to promote the development of renewable energy are recommended.
Originality/value
This paper, in comparison to other research, used panel quantile regression to investigate the impact of factors affecting renewable energy consumption. Also, to the best of the authors’ knowledge, no study has perused the effect of R&D along with trade liberalization and carbon emissions on renewable energy consumption in G-7 countries. Also, in this paper, as a robustness check for panel quantile regression, the GQR has been used.