Electronic International Standard Serial Number (EISSN)
1869-4195
abstract
In this paper, we investigate the path to the green transition in Europe. In so doing, we implement an empirical model of dynamic panel data on a sample of sixteen Western European countries over the period 1980 to 2019. The model is consistent withvariousfeaturesofneoclassicalgrowththeoryincorporatingenergyuse.Ourfocus is on the short-run determinants of carbon emissions within that set of countries. We provide evidence that the relationship between economic activity and CO2 emissions is strong in economies where economic booms depend on energy-intensive sectors. Also,themitigatingroleofrenewableenergytechnologiesiskeywhenenergyintensity rebounds. These circumstances may constitute a challenge for the climate transition goals targeted in the EU"s Recovery Plan, whose main objective at this very moment is to mitigate the economic and social impact of the coronavirus pandemic.
Classification
subjects
Renewable Energies
keywords
business cycles; co2 emissions; energy; panel data