The nexus between information technology and environmental pollution: Application of a new machine learning algorithm to OECD countries

Cosimo Magazzino (), Marco Mele, Giovanna Morelli and Nicolas Schneider

Utilities Policy, 2021, vol. 72, issue C

Abstract: This paper examines the linkages among Information and Communication Technologies (ICT) penetration, electricity consumption, economic growth, urbanization, and environmental pollution for 25 OECD countries over the 1990–2017 period. We first conduct several panel data analyses and then write and apply a new Machine Learning (ML) algorithm. Empirical findings show that ICT usage enhances economic growth, and it is also a crucial driver of electricity consumption, which, in turn, translates into polluting emissions. The ML results highlight internet usage emerges as a substantial CO2 emissions-enabler, thus corroborating our panel data findings. Potential policy measures are discussed.

Keywords: Internet usage; Electricity consumption; CO2 emissions; Urbanization; OECD; Panel data; Machine learning (search for similar items in EconPapers)
JEL-codes: O13 O4 Q42 Q43 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:juipol:v:72:y:2021:i:c:s0957178721000904

DOI: 10.1016/j.jup.2021.101256

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