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RENEWABLE ENERGY CONSUMPTION, POLITICAL AND INSTITUTIONAL FACTORS: EVIDENCE FROM A GROUP OF EUROPEAN, ASIAN AND LATIN AMERICAN COUNTRIES

NICHOLAS APERGIS

Department of Banking and Financial Management, University of Piraeus, 80, Karaoli & Dimitriou, 18534 Piraeus, Greece

Corresponding author.

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and

SOFIA ELEFTHERIOU

Department of Business Administration, University of Piraeus, 80, Karaoli & Dimitriou, 18534 Piraeus, Greece

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https://doi.org/10.1142/S0217590815500083Cited by:20 (Source: Crossref)

Abstract

This paper explores the dynamic relationships between renewable energy consumption and a number of institutional and political factors for a group of countries from Europe, Asia and Latin America spanning the period 1995–2011. The paper employs the methodology of long and short-run panel causality approach as well as the methodology of the panel Error Correction model. The empirical findings provide strong evidence that, after controlling the economic environment, both political and institutional factors exert a strong and statistically significant effect on renewable energy consumption. These findings are expected to have serious implications for policies related to clean energy.

Keywords:

JEL: Q40, K00, C33

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