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Renewable energy, foreign direct investment and carbon dioxide emissions: Do sectoral value additions and policy uncertainty matter?
oleh: Kwame Adjei-Mantey, Samuel Adams
| Format: | Article |
|---|---|
| Diterbitkan: | Elsevier 2023-06-01 |
Deskripsi
The effects of foreign direct investment (FDI) and renewable energy on disaggregated carbon emissions are examined, while accounting for sectoral value additions and policy uncertainty for 29 sub-Saharan Africa countries. The findings that emanate from the study based on the General Method of Moments technique indicate that renewable energy has adverse effect on both territorial-based and consumption-based CO2 emissions while FDI has a significant positive effect only on territorial emission. Furthermore, the agricultural and industrial sectors in particular were found to have significant effects on CO2 emissions. Finally, policy uncertainty contributes to territorial based emissions but not consumption-based emissions. Thus, reducing policy uncertainties in the economies of SSA has the potential to reduce CO2 emissions.