Assessing the spatial interactions between development sustainability, renewable energy, and economic growth in selected European nations

Salaheddine Sari-Hassoun, Hicham Ayad, Abderrahim Chibi and Sidi Mohamed Chekouri

Renewable Energy, 2025, vol. 250, issue C

Abstract: The main target of this paper is to examine the spatial connection of renewable energy consumption (REC), gross domestic product (GDP), trade openness (TO), labour force (LF) and world uncertainty index (WUI) on both adjusted net savings (ANS) and sustainable developments goals overall index (SDG) as two suitable sustainable development variables in 37 European countries during the period of 2000–2021. The findings demonstrate with the dynamic cross-section fixed effect Spatial Durbin Model (SDM-FE) with dlag (3) that although REC has a negative and significant spillover impact, it has a positive and significant direct influence on both ANS and SDG. In addition, the results show that GDP has a positive and significant direct influence on both ANS and SDG, while it has a negative spillover effect on both ANS and SDG. Besides, the outcomes discover that while TO has an insignificant and positive indirect effect, it has a negative and significant direct impact on both ANS and SDG. Moreover, the findings reveal that LF has a negative direct impact and a positive spillover effect on ANS. In the SDG model, LF has a positive and significant direct and indirect effect. Lastly, WUI has a negative and direct and indirect effect.

Keywords: Spatial interaction; Renewable energy; Economic growth; Adjusted net savings; Sustainable development goals overall index; Spillover effects (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:renene:v:250:y:2025:i:c:s0960148125009863

DOI: 10.1016/j.renene.2025.123324

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