This study examines the linkages among economic growth, energy consumption, financial development, trade openness and CO 2 emissions over the period of 1975Q 1 -2011Q 4 in the case of Indonesia. The stationary analysis is performed by using Zivot-Andrews structural break unit root test and the ARDL bounds testing approach for a long run relationship between the series in the presence of structural breaks. The causal relation between the concerned variable is examined by the VECM Granger causality technique and robustness of causal analysis is tested by innovative accounting approach (IAA). Our results confirm that the variables are cointegrated; it means that the long run relationship exists in the presence of structural break stemming in the series. The empirical findings indicate that economic growth and energy consumption increases CO 2 emissions, while financial development and trade openness compact it. The VECM causality analysis has shown the feedback hypothesis between energy consumption and CO 2 emissions. Economic growth and CO 2 emissions are also interrelated i.e. bidirectional causality. Financial development Granger causes CO 2 emissions. The study opens up a new policy insights to control the environment from degradation by using energy efficient technologies. Financial development and trade openness can also play their role in improving the environmental quality.

This analysis explored the effect of battery electric vehicles (BEVs) on greenhouse gas emissions (GHGs) in a panel of twenty-nine countries from the European Union (EU) from 2010 to 2020. The method of moments quantile regression (MM-QR) was used, and the ordinary least squares with fixed effects (OLSfe) was used to verify the robustness of the results. The MM-QR support that in all three quantiles, economic growth causes a positive impact on GHGs. In the 50th and 75th quantiles, energy consumption causes a positive effect on GHGs. BEVs in the 25th, 50th, and 75th quantiles have a negative impact on GHGs. The OLSfe reveals that economic growth has a negative effect on GHGs, which contradicts the results from MM-QR. Energy consumption positively impacts GHGs. BEVs negatively impacts GHGs. Although the EU has supported a more sustainable transport system, accelerating the adoption of BEVs still requires effective political planning to achieve net-zero emissions. Thus, BEVs are an important technology to reduce GHGs to achieve the EU targets of decarbonising the energy sector. This research topic can open policy discussion between industry, government, and researchers, towards ensuring that BEVs provide a climate change mitigation pathway in the EU region.

This paper evaluates the link between economic growth, renewable energy, tourism arrivals, trade openness, and carbon dioxide emissions in the European Union (EU-28). As an econometric strategy, the research uses panel data. In the first step, we apply the unit root test, and the results demonstrated that the variables used in this study are integrated I (1) in the first difference. In the second step, we apply the Pedroni cointegration test, and Kao Residual cointegration test, and we observe that the variables are cointegrated in the long run. The panel fully modified least squares (FMOLS), panel dynamic least squares (DOLS), and generalized moments system (GMM-System) estimator are considered in this research. The econometric results proved that trade openness and renewable energy decreased climate change and environmental degradation. The empirical study also found a positive effect of economic growth on carbon dioxide emissions. Moreover, tourism arrivals are negatively correlated with carbon dioxide emissions, showing sustainability practices of the tourism sector on the environment. Furthermore, carbon dioxide emissions in the long run present a positive impact, indicating that climate change increases. In this study, we also consider the recent methodology of Dumitrescu–Hurlin to observe the causality and the relationship between renewable energy, trade openness, economic growth, tourism arrivals, and carbon dioxide emissions.