The impact of energy security on energy innovation: a non-linear analysis

Yan Ma, Gen-Fu Feng and Chun-Ping Chang

Applied Economics, 2025, vol. 57, issue 16, 1867-1887

Abstract: Energy security is an important guarantor of national development, while energy innovation is an endogenous driver of sustainable development. This paper examines the impact of energy security on energy innovation, which has important strategic implications. Using original data from 66 countries for 1996–2019, we construct two-way fixed effects models for empirical analysis. The results show that there is a potential non-linear effect of energy security on energy innovation, and this non-linear effect shows a U-shape. In terms of influence mechanisms, the U-shaped effect of energy security on energy innovation is propagated through energy policy as a mediating mechanism. Furthermore, left-wing parties in power have stronger impact effects, and increasing government stability and decreasing financial risk have a stronger impact on the correlation between energy security and energy innovation. This paper provides new insights into understanding the influence of energy security on energy innovation and offers targeted policy recommendations.

Date: 2025
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DOI: 10.1080/00036846.2024.2317810

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