Does Renewable Energy Technologies and Poverty Affect the Sustainable Growth in Emerging Countries?
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Knowing the crucial role of sustainable growth for the economy and the environment, the aim of this work is to examine the determinants of the sustainable growth in emerging countries. Therefore, we shall attempt to investigate the effects of technological innovation of renewable energies, renewable electricity consumption, and poverty on non-sustainable growth in emerging countries. Our contribution to the literature is manifested by including poverty and patents in renewable energy technologies in the modified environmental Kuznets curve (EKC-modified). We have decomposed also the independent variable of energy into two fields (renewable energies and fossil fuel energies) in the EKC-modified. To evaluate this work empirically, we have used a panel data model applied on the (EKC-modified) function for 12 emerging countries over the period 1990–2012. Our results showed an inverted U-shaped curve. The innovation in renewable energy affects negatively the negative adjusted net saving per capita. Poverty affects positively the negative adjusted net saving per capita. Policymakers are called to stimulate the innovation in renewable energy technologies and enhance employments in green projects to reduce poverty. The present study provides a strong basis of sustainable strategies. It may guide policymakers in emerging countries to clarify important factors that they should invest in such as innovation in renewable energies and cross out poverty through increasing job opportunities like investing in green jobs to realize successful sustainable growth strategies.
KeywordsSustainable growth Innovation in renewable energy technologies Renewable energy consumption Poverty Panel data model
JEL ClassificationsQ56 Q55 O1 C23
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