THE NEXUS AMONG RENEWABLE ENERGY, R&D ACTIVITIES AND GENDER INEQUALITY: EVIDENCE FROM EASTERN EUROPE

Abstract

The ecological transition process is of vital importance to modern economies. In the literature, little attention has been paid to the role that social factors can play in the diffusion of renewable energy. The paper aims to contribute to this debate by focusing on the connections between R&D activities, gender inequality and renewable energy. Specifically, many authors have underlined the positive influence that R&D activities can have on the ecological transition process, by favouring the diffusion of green innovations within the various economic sectors. On the other hand, some studies have shown that gender inequality can represent an obstacle towards the adoption of more sustainable consumption and production choices in the energy context. In our study we wanted to combine the two aspects: is it possible that a greater participation of women in R&D activities could have a positive impact on the diffusion of energy from renewable sources? To answer the question, we employ a panel vector autoregressive model in first differences to test complex dynamic relationships among renewable electricity production (as a proxy of the ecological transition), R&D expenditures (as a proxy for a country’s innovative capacity), and share of female researchers (as a proxy for gender equality in the sector), controlling for per capita income. The study concerns 9 Eastern European countries for the period 2000-2019. The results show that the R&D expenditure is positively related to the production of electricity from renewable sources. Moreover, increased employment of women in R&D activities seems to support the ecological transition process. Finally, an increase in R&D spending seems to ensure easier access for women in the research sector. Supporting R&D activities, however, may not be enough, since women participation in those activities does not show a path dependence. Furthermore, from the impulse response analysis, a shock exerted on the share of female researchers produces positive effects on the diffusion of renewable energy, but only for a short period. Policymakers should make constant efforts to favour the participation of women in R&D activities: the global energy transformation needs to be inclusive and women have to be part of it.