The impact of renewable energy consumption on income inequality: Evidence from developed countries

Topcu M., Tuğcu C. T.

Renewable Energy, cilt.151, ss.1134-1140, 2020 (SCI-Expanded) identifier identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 151
  • Basım Tarihi: 2020
  • Doi Numarası: 10.1016/j.renene.2019.11.103
  • Dergi Adı: Renewable Energy
  • Derginin Tarandığı İndeksler: Science Citation Index Expanded (SCI-EXPANDED), Scopus, Academic Search Premier, PASCAL, Aerospace Database, Aquatic Science & Fisheries Abstracts (ASFA), CAB Abstracts, Communication Abstracts, Compendex, Environment Index, Geobase, Greenfile, Index Islamicus, INSPEC, Pollution Abstracts, Public Affairs Index, Veterinary Science Database, DIALNET, Civil Engineering Abstracts
  • Sayfa Sayıları: ss.1134-1140
  • Anahtar Kelimeler: Renewable energy consumption, Income inequality, Panel data, PANEL-DATA, FINANCIAL DEVELOPMENT, CO2 EMISSIONS, DISTRIBUTIONAL IMPLICATIONS, CARBON EMISSIONS, ECONOMIC-GROWTH, ENVIRONMENT, NEXUS, URBANIZATION, DETERMINANTS
  • Akdeniz Üniversitesi Adresli: Evet

Özet

© 2019 Elsevier LtdDespite of the great number of studies on the impact that income gap has on the environment, we still do not know much about whether renewable energy could be a factor affecting income inequality. The goal of this study is therefore to investigate the impact of renewable energy consumption on income inequality in a panel group of developed economies over the period 1990–2014. To this end, the study employs two dynamic panel data estimation techniques: (i) panel generalized method of moments in which slope coefficients are not allowed to vary, and (ii) the dynamic common correlated effects estimator in which heterogeneity and cross-sectional dependence is taken into consideration. The results obtained from the both estimators indicate that an increase in renewable energy consumption leads to a decrease in income inequality. Beyond the environmental concerns, this result confirms that adoption of renewable energy sources will also play a crucial role in reducing income inequality. In addition, it is also proved that the role of renewable energy consumption on income inequality is robust to estimation technique. Policy implications of these results are also discussed.