Persistence of shocks on non-renewable and renewable energy consumption: evidence from 15 leading countries with Fourier unit root test

Burcu Kiran Baygin () and Nilgün Çil ()
Additional contact information
Burcu Kiran Baygin: Istanbul University
Nilgün Çil: Istanbul University

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, 2024, vol. 26, issue 3, No 17, 5915-5934

Abstract: Abstract This paper investigates the persistence of shocks on non-renewable and renewable energy consumption for 15 leading countries by renewable energy consumption, over the period 1980–2018. For this aim, we apply Christopoulos and Leon-Ledesma (J Int Money Finance 29(6):1076–1093, 2010) Fourier ADF unit root test which structural breaks are included by using a trigonometric function to allow for smooth temporary mean changes rather than jump functions. In application, we do not need to specify the numbers, locations and the forms of the structural breaks a priori. The results give that shocks on non-renewable energy consumption per capita are persistent for 13 countries except Sweden and the United States; shocks on renewable energy consumption per capita are persistent for 12 countries except Canada, Sweden and the United Kingdom. Overall, we conclude that persistent policy implications on non-renewable energy consumption are more effective tool than transitory policy stances for 13 countries except Sweden and the United States whereas persistent policy implications on renewable energy consumption are more effective for 12 countries except Canada, Sweden and the United Kingdom. In other words, since the energy consumption returns to its trend path quickly, any policy will not be effective on non-renewable energy consumption for Sweden and the United States, and also on renewable energy consumption for Canada, Sweden and the United Kingdom.

Keywords: Non-renewable energy consumption; Renewable energy consumption; Fourier unit root test; Persistent shocks; Transitory shocks (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s10668-023-02944-4 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

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:spr:endesu:v:26:y:2024:i:3:d:10.1007_s10668-023-02944-4

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/10668

DOI: 10.1007/s10668-023-02944-4

Access Statistics for this article

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development is currently edited by Luc Hens

More articles in Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().