The Nexus Between Renewable Energy Consumption, Financial Development, and Trade Openness Based on Environmental Quality in Uganda: An Application of the ARDL

Q1 Economics, Econometrics and Finance

International Journal of Energy Economics and Policy Pub Date : 2024-05-08 DOI:10.32479/ijeep.15023

John Bbale Mayanja, Brian Arinaitwe, Ronald Kasaijja, John Mutenyo, Edward Damulira Ssengonzi

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引用次数: 0

Abstract

Environmental degradation is attributed to human activities associated with economic development. This study examines renewable energy consumption (REC), financial development (FD), trade openness, and environmental quality nexus in Uganda over the period 1990-2019 using the Autoregressive Distribution Lag (ARDL). Findings show that REC improves environmental quality both in the short and long run. In addition, while trade openness is negatively related to environmental quality in the short and long run, a negative correlation exists between FD and environmental quality only in the long run. Furthermore, economic growth has a positive relationship with environmental quality in the short run while in the long run, GDP2 improves environmental quality. However, the results from the study find no statistical relationship between FDI and environmental quality, and thus neither the pollution haven nor pollution halo hypotheses are confirmed in the Ugandan case. This paper does not only recommend investing more in renewable energy development to improve the quality of the environment but also in financial sector development to support investments that promote a low-carbon and green economy.

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基于乌干达环境质量的可再生能源消费、金融发展和贸易开放之间的关系：ARDL 的应用

环境退化归因于与经济发展相关的人类活动。本研究利用自回归分布滞后（ARDL）对 1990-2019 年间乌干达的可再生能源消费（REC）、金融发展（FD）、贸易开放和环境质量之间的关系进行了研究。研究结果表明，从短期和长期来看，REC 都能改善环境质量。此外，虽然贸易开放度在短期和长期内与环境质量呈负相关，但只有在长期内，FD 与环境质量之间才存在负相关关系。此外，经济增长与环境质量在短期内呈正相关，而在长期内，GDP2 会改善环境质量。然而，研究结果发现，外国直接投资与环境质量之间没有统计关系，因此在乌干达的案例中，污染天堂假说和污染晕轮假说都没有得到证实。本文不仅建议加大对可再生能源开发的投资以改善环境质量，还建议发展金融业以支持促进低碳和绿色经济的投资。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

International Journal of Energy Economics and Policy Economics, Econometrics and Finance-Economics, Econometrics and Finance (all)

CiteScore

3.20

自引率

0.00%

发文量

296

审稿时长

14 weeks

期刊介绍： International Journal of Energy Economics and Policy (IJEEP) is the international academic journal, and is a double-blind, peer-reviewed academic journal publishing high quality conceptual and measure development articles in the areas of energy economics, energy policy and related disciplines. The journal has a worldwide audience. The journal''s goal is to stimulate the development of energy economics, energy policy and related disciplines theory worldwide by publishing interesting articles in a highly readable format. The journal is published bimonthly (6 issues per year) and covers a wide variety of topics including (but not limited to): Energy Consumption, Electricity Consumption, Economic Growth - Energy, Energy Policy, Energy Planning, Energy Forecasting, Energy Pricing, Energy Politics, Energy Financing, Energy Efficiency, Energy Modelling, Energy Use, Energy - Environment, Energy Systems, Renewable Energy, Energy Sources, Environmental Economics, Oil & Gas .