THE EFFECT OF NUCLEAR ENERGY AND RENEWABLE ENERGY ON GDP AND CARBON EMISSIONS

Abstract

At the international level, the importance of clean energy is highly appreciated in the context of development and for the protection of the atmosphere. Therefore, the objective of this article is to determine the effect of the consumption of renewable energy and nuclear energy on economic growth and carbon dioxide emissions in the ten most CO2 emitting countries in a multivariate context for the period 1995-2019. The panel cointegration test, the completely modified ordinary least squares panel and the Dumitrescu and Hurlin heterogeneous causality evaluation panel are used to analyze the long-term estimation of elasticity, as well as the evolution of causality between variables. The panel cointegration test confirms the existence of a long-term equilibrium correlation between the variables. The results of long-term elasticity and causality tests reveal that renewable energy does not contribute to economic growth and CO2 reduction like nuclear power. However, with the exception of renewable energy and nuclear energy is vital to prevent global warming and climate change, as well as to promote economic growth.