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Renewable energy consumption and economic efficiency: Evidence from European countries

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  • Halkos, George
  • Tzeremes, Nickolaos

Abstract

This paper examines the relationship between renewable energy consumption and economic efficiency. For this reason conditional Data Envelopment Analysis (DEA) estimators alongside with nonparametric regressions are applied in a sample of 25 European countries for the year 2010. Our results reveal that renewable energy consumption has a positive effect on countries’ economic efficiency for lower consumption levels while for higher levels the analysis reveals mixed effects, which are also subject to regional disparities. Finally, it appears that the effect of renewable energy consumption on countries’ economic efficiency depends also on countries’ specific regional characteristics as well as on the environmental policies adopted.

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  • Halkos, George & Tzeremes, Nickolaos, 2013. "Renewable energy consumption and economic efficiency: Evidence from European countries," MPRA Paper 44136, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:44136
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    2. Georgia Makridou, Kostas Andriosopoulos, Michael Doumpos, and Constantin Zopounidis, 2015. "A Two-stage approach for energy efficiency analysis in European Union countries," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
    3. Adebayo Fashina & Mustafa Mundu & Oluwole Akiyode & Lookman Abdullah & Dahiru Sanni & Living Ounyesiga, 2018. "The Drivers and Barriers of Renewable Energy Applications and Development in Uganda: A Review," Clean Technol., MDPI, vol. 1(1), pages 1-31, May.
    4. Shahbaz, Muhammad & Hussain Shahzad, Syed Jawad & Jammazi, Rania, 2016. "Nexus between U.S Energy Sources and Economic Activity: Time-Frequency and Bootstrap Rolling Window Causality Analysis," MPRA Paper 68724, University Library of Munich, Germany, revised 08 Jan 2016.
    5. Eirini Stergiou & Nikos Rigas & Eftychia Zaroutieri & Konstantinos Kounetas, 2023. "Energy, renewable and technical efficiency convergence: a global evidence," Economic Change and Restructuring, Springer, vol. 56(3), pages 1601-1628, June.
    6. Uniіat, Lіudmyla, 2018. "Economic Efficiency Of Using Solar Energy In The Agroindustrial Business," EUREKA: Social and Humanities, Scientific Route OÜ, issue 2, pages 9-18.
    7. George E. Halkos & Eleni-Christina Gkampoura, 2020. "Reviewing Usage, Potentials, and Limitations of Renewable Energy Sources," Energies, MDPI, vol. 13(11), pages 1-19, June.
    8. Halkos, George & Tzeremes, Panagiotis, 2015. "Scenario analysis on greenhouse gas emissions reduction in Southeast Balkans' energy system," MPRA Paper 65280, University Library of Munich, Germany.
    9. Nasrin Aghamohammadi & Stacy Simai Reginald & Ahmad Shamiri & Ali Akbar Zinatizadeh & Li Ping Wong & Nik Meriam Binti Nik Sulaiman, 2016. "An Investigation of Sustainable Power Generation from Oil Palm Biomass: A Case Study in Sarawak," Sustainability, MDPI, vol. 8(5), pages 1-19, April.
    10. George Halkos & Kleoniki Natalia Petrou, 2019. "Analysing the Energy Efficiency of EU Member States: The Potential of Energy Recovery from Waste in the Circular Economy," Energies, MDPI, vol. 12(19), pages 1-32, September.

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    More about this item

    Keywords

    Renewable energy consumption; economic efficiency; data envelopment analysis; nonparametric regression;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth

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