Financial inclusion and energy productivity: evaluating the role composite risk for E7 countries
Year: 2022
Type: article
Abstract: The global temperature has been on the rise in recent times. Due to the worsening environmental quality and greenhouse gas emissions, countries around the globe are looking for energy productivity. Various countries have successfully promoted cleaner technologies. This study empirically examines the determinants of energy productivity for the panel of seven emerging economies during 2004–2019 to understand why some countries are more energy productive compared to others. This study contributes to the previous literature by identifying the new influencing factors for a selected set of emerging countries that help import universal suggestions for improving energy productivity, green growth, and sustainable development. Using an Augmented Mean Group (A.M.G.) approach, the results suggest that financial inclusion (F.I.N.I.N.C.), globalisation (G.L.B.), human capital index (H.C.I.), composite risk index (C.R.I.) and income are important factors contributing to energy productivity in sample countries. Specifically, an increase in one unit's F.I.N.I.N.C. brings about a 3% increase in the value of energy productivity. Hence, we conclude that a well-functioning financial system is important in achieving sustainable development goals (S.D.G.s).
Authors: Yue Yang, Zhe Zhu, Zafir Ullah Khan, Summiya Aftab
Institutions: Jilin University, University of Science and Technology Bannu
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: hybrid
Estimated APC paid: $944
OpenAlex ID: W4213024864