Nexus between economic policy uncertainty, renewable & non-renewable energy and carbon emissions: Contextual evidence in carbon neutrality dream of USA

Mohamed Sahbi Nakhli, Muhammad Shahbaz, Mehdi Ben Jebli and Shizhen Wang

Renewable Energy, 2022, vol. 185, issue C, 75-85

Abstract: This research attempts to examine the relationship between renewable and non-renewable electricity consumption, carbon dioxide (CO2) emissions and economic policy uncertainty for the United States. For empirical analysis, the study employs monthly data for the period of 1985M1 to 2020M12 and used Bootstrap Rolling approach. The empirical findings revealed that, for full sample Granger causality test, there is a unidirectional causality running from electricity consumption to economic policy uncertainty and bidirectional causality between CO2 emissions and economic policy uncertainty. The estimated parameters are statistically unstable for three models. Overall, the conclusion of study supports the sustainable development goals (SDGs: 7, 10, 13) of the United States. The study argues that policymakers and political leadership of US should be aware of climate change consequences in order to fulfill carbon neutrality target and should develop economic policies accordingly in-line with energy security, clean and greener energy for all and sustainable cleaner production objectives. Further, the uncertainty issues should be considered while designing the environmental regulations.

Keywords: Economic policy uncertainty; Energy consumption; Carbon emissions; United States; Sustainable development goals (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (24)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0960148121017663
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:renene:v:185:y:2022:i:c:p:75-85

DOI: 10.1016/j.renene.2021.12.046

Access Statistics for this article

Renewable Energy is currently edited by Soteris A. Kalogirou and Paul Christodoulides

More articles in Renewable Energy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().