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Internet usage, renewable energy, electricity consumption and economic growth : Evidence from developed countries

Author

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  • Taha Zaghdoudi

    (Faculty of Law, Economics and Management of Jendouba, Tunisia)

Abstract

Using a dataset of 31 developed countries over the period of 1990-2015 we empirically investigate the relationship between Internet usage, renewable energy, electricity consumption and economic growth. Panel autoregressive distributed lag method (ARDL) and Dynamic Ordinary Least Squares method (DOLS) are applied to test this relation. Results from ARDL estimates reveal that Internet usage and economic growth have a positive and significant long-run effect on electric power consumption. Results, also indicate that renewable energy has a negative and significant effect on electricity consumption. Otherwise, only economic growth has positive and significant effect on electricity consumption in the short-run. This paper supports the view that developed countries still dependent to nonrenewable energy use to support their economic growth and to meet the increasing electricity demand from Internet usage. Moreover, by supporting investment in renewable energy and green IT developed countries can increase renewable electricity production and mitigate pollution.

Suggested Citation

  • Taha Zaghdoudi, 2017. "Internet usage, renewable energy, electricity consumption and economic growth : Evidence from developed countries," Economics Bulletin, AccessEcon, vol. 37(3), pages 1612-1619.
    • Handle: RePEc:ebl:ecbull:eb-17-00457
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    Cited by:

    1. Bakari, Sayef, 2019. "Innovation and Economic Growth: Does Internet Matter?," MPRA Paper 94851, University Library of Munich, Germany.
    2. Mukalayi, Nancy Muvumbu & Inglesi-Lotz, Roula, 2023. "Digital financial inclusion and energy and environment: Global positioning of Sub-Saharan African countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 173(C).
    3. Kausar Kiran & Dr. Muhammad Ali Gardezi, 2024. "Green Energy Strategies and Their Effect on Natural Resource Sustainability in Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(2), pages 126-135.
    4. AlNemer, Hashem A. & Hkiri, Besma & Tissaoui, Kais, 2023. "Dynamic impact of renewable and non-renewable energy consumption on CO2 emission and economic growth in Saudi Arabia: Fresh evidence from wavelet coherence analysis," Renewable Energy, Elsevier, vol. 209(C), pages 340-356.

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    More about this item

    Keywords

    Electricity consumption; Internet usage; Renewable energy; Economic growth; Panel ARDL;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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