A comparative analysis of the financial determinants of renewable energy investments: Asia-Pacific and Latin American countries
- Eşanlı Panel Kantil Regresyon, Yenilenebilir Enerji, Finansal Gelişmişlik, Doğrudan Yabancı Yatırım
- Simultaneous Panel Quantile Regression Analysis, Renewable Energy, Financial Development, Foreign Direct Investment
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Copyright (c) 2022 Kenan İLARSLAN- Münevvere YILDIZ
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Countries' increasing energy needs and dependence on foreign sources for fossil resources make it important to obtain energy from alternative sources such as renewable resources. However, one of the biggest problems in the transformation of resources in energy production is how this transition will be financed from which sources. In this context, the objective of the research is to reveal the role of financial development (FD) and foreign direct investment (FDI) in renewable energy (RE) in the Asia-Pacific and Latin American countries in 2000-2020. The study conducted analyses within the Dumitrescu-Hurlin panel causality test and simultaneous panel quantile regression analysis. The results show strong empirical evidence for the role of FD and FDI on RE production. Accordingly, FD and FDI have a positive and significant effect on RE.
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