IDEAS home Printed from https://ideas.repec.org/a/mes/emfitr/v59y2023i2p312-323.html
   My bibliography  Save this article

Carbon Emissions and Clean Energy Investment: Global Evidence

Author

Listed:
  • Dan Zhang
  • Yunpeng Wang
  • Xinyu Peng

Abstract

Under the premise of the detrimental effects of carbon emission on the global climate, the role of governments in promoting clean energy investment has become more important, and monetary policy as one government tool has drawn greater attention among the public. Our research successfully develops a new model that links clean energy investments with monetary policies and carbon emissions in 9 Asian economies spanning the period from 1996 to 2018. First, from the results of cointegration tests, we find a long-term relationship among the variables. Second, using FMOLS estimators, our paper reveals that expansionary monetary policy promotes clean energy investment and that its effect is stronger in developing countries. Third, we find a positive relationship between CO2 emissions and clean energy investment in the full sample but the relationship becomes negative in developing countries. Accordingly, the paper offers suggestions on possible policy initiatives to improve clean energy investment.

Suggested Citation

  • Dan Zhang & Yunpeng Wang & Xinyu Peng, 2023. "Carbon Emissions and Clean Energy Investment: Global Evidence," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 59(2), pages 312-323, January.
    • Handle: RePEc:mes:emfitr:v:59:y:2023:i:2:p:312-323
    DOI: 10.1080/1540496X.2022.2099270
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/1540496X.2022.2099270
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/1540496X.2022.2099270?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:emfitr:v:59:y:2023:i:2:p:312-323. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MREE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.