IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v365y2024ics0306261924005993.html
   My bibliography  Save this article

Persistence of disaggregate energy RD&D expenditures in top-five economies: Evidence from artificial neural network approach

Author

Listed:
  • Caglar, Abdullah Emre
  • Daştan, Muhammet
  • Avci, Salih Bortecine

Abstract

The motivation of this paper is to investigate the resistance of countries' energy research and development (RD&D) expenditures to random shocks. The analysis includes the five countries (France, Germany, Japan, the United States, and the United Kingdom) that are the biggest investors in RD&D in fossil fuels, renewables, energy efficiency, and nuclear energy. Thus, economies will be able to take precautions against global shocks in producing sustainable energy policies. To achieve this aim, this paper uses the artificial neural network approach, which uses a distributed computing model that can store and generalize data after a learning period. Empirical results widely depend on countries and distinct energy technology policy fields. The key findings provide evidence that RD&D expenditures, except for renewables, do not tend to mean revert. The economies of Japan, Germany, and the United States should make more renewable investments to reduce the resistance of renewable energy sources to shocks and thus produce policies for both environmental sustainability and energy security. The economies of France and the United Kingdom can ensure energy security by continuing their sustainable energy policies.

Suggested Citation

  • Caglar, Abdullah Emre & Daştan, Muhammet & Avci, Salih Bortecine, 2024. "Persistence of disaggregate energy RD&D expenditures in top-five economies: Evidence from artificial neural network approach," Applied Energy, Elsevier, vol. 365(C).
    • Handle: RePEc:eee:appene:v:365:y:2024:i:c:s0306261924005993
    DOI: 10.1016/j.apenergy.2024.123216
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261924005993
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2024.123216?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Taghizadeh-Hesary, Farhad & Mortha, Aline & Farabi-Asl, Hadi & Sarker, Tapan & Chapman, Andrew & Shigetomi, Yosuke & Fraser, Timothy, 2020. "Role of energy finance in geothermal power development in Japan," International Review of Economics & Finance, Elsevier, vol. 70(C), pages 398-412.
    2. Bin He & Xiang Ma & Muhammad Nasir Malik & Riazullah Shinwari & Yaode Wang & Lingli Qing & Abd Alwahed Dagestani & Mohammed Moosa Ageli, 2023. "Sustainable economic performance and transition towards cleaner energy to mitigate climate change risk: evidence from top emerging economies," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 36(3), pages 2154240-215, December.
    3. Ju, Yiyi & Sugiyama, Masahiro & Kato, Etsushi & Oshiro, Ken & Wang, Jiayang, 2022. "Job creation in response to Japan’s energy transition towards deep mitigation: An extension of partial equilibrium integrated assessment models," Applied Energy, Elsevier, vol. 318(C).
    4. Bahmani-Oskooee, Mohsen & Chang, Tsangyao & Lee, Kuei-Chiu, 2016. "Purchasing power parity in emerging markets: A panel stationary test with both sharp and smooth breaks," Economic Systems, Elsevier, vol. 40(3), pages 453-460.
    5. OlaOluwa S. Yaya & Ahamuefula E. Ogbonna & Fumitaka Furuoka & Luis A. Gil‐Alana, 2021. "A New Unit Root Test for Unemployment Hysteresis Based on the Autoregressive Neural Network," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 83(4), pages 960-981, August.
    6. Shahbaz, Muhammad & Nasir, Muhammad Ali & Hille, Erik & Mahalik, Mantu Kumar, 2020. "UK's net-zero carbon emissions target: Investigating the potential role of economic growth, financial development, and R&D expenditures based on historical data (1870–2017)," Technological Forecasting and Social Change, Elsevier, vol. 161(C).
    7. Yifei Cai & Jamel Saadaoui, 2022. "Fourier DF unit root test for R&D intensity of G7 countries," Post-Print hal-04031334, HAL.
    8. Yifei Cai & Jamel Saadaoui, 2022. "Fourier DF unit root test for R&D intensity of G7 countries," Applied Economics, Taylor & Francis Journals, vol. 54(42), pages 4900-4914, September.
    9. Alvarez-Herranz, Agustin & Balsalobre-Lorente, Daniel & Shahbaz, Muhammad & Cantos, José María, 2017. "Energy innovation and renewable energy consumption in the correction of air pollution levels," Energy Policy, Elsevier, vol. 105(C), pages 386-397.
    10. Hossain, Mohammad Razib & Singh, Sanjeet & Sharma, Gagan Deep & Apostu, Simona-Andreea & Bansal, Pooja, 2023. "Overcoming the shock of energy depletion for energy policy? Tracing the missing link between energy depletion, renewable energy development and decarbonization in the USA," Energy Policy, Elsevier, vol. 174(C).
    11. Shahbaz, Muhammad & Nasir, Muhammad Ali & Roubaud, David, 2018. "Environmental degradation in France: The effects of FDI, financial development, and energy innovations," Energy Economics, Elsevier, vol. 74(C), pages 843-857.
    12. Lee, Chien-Chiang & Chang, Chun-Ping, 2008. "New evidence on the convergence of per capita carbon dioxide emissions from panel seemingly unrelated regressions augmented Dickey–Fuller tests," Energy, Elsevier, vol. 33(9), pages 1468-1475.
    13. De Gooijer, Jan G. & Hyndman, Rob J., 2006. "25 years of time series forecasting," International Journal of Forecasting, Elsevier, vol. 22(3), pages 443-473.
    14. Ucar, Nuri & Omay, Tolga, 2009. "Testing for unit root in nonlinear heterogeneous panels," Economics Letters, Elsevier, vol. 104(1), pages 5-8, July.
    15. Sinha, Avik & Sengupta, Tuhin & Alvarado, Rafael, 2020. "Interplay between Technological Innovation and Environmental Quality: Formulating the SDG Policies for Next 11 Economies," MPRA Paper 104247, University Library of Munich, Germany, revised 2020.
    16. Jonas Meckling & Clara Galeazzi & Esther Shears & Tong Xu & Laura Diaz Anadon, 2022. "Energy innovation funding and institutions in major economies," Nature Energy, Nature, vol. 7(9), pages 876-885, September.
    17. Hai Hong Trinh, 2023. "Energy Technology RD&D Budgets, Environmental Sustainability, and Energy Transition: A Review of Emerging Trends, Policies, and Pathways," Springer Books, in: Michel Fathi & Enrico Zio & Panos M. Pardalos (ed.), Handbook of Smart Energy Systems, pages 3119-3141, Springer.
    18. Awaworyi Churchill, Sefa & Inekwe, John & Ivanovski, Kris, 2021. "R&D expenditure and energy consumption in OECD nations," Energy Economics, Elsevier, vol. 100(C).
    19. Lindman, Åsa & Söderholm, Patrik, 2016. "Wind energy and green economy in Europe: Measuring policy-induced innovation using patent data," Applied Energy, Elsevier, vol. 179(C), pages 1351-1359.
    20. Shah, Wasi Ul Hassan & Hao, Gang & Yan, Hong & Yasmeen, Rizwana & Padda, Ihtsham Ul Haq & Ullah, Assad, 2022. "The impact of trade, financial development and government integrity on energy efficiency: An analysis from G7-Countries," Energy, Elsevier, vol. 255(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tatyana Semenova & Juan Yair Martínez Santoyo, 2025. "Determining Priority Areas for the Technological Development of Oil Companies in Mexico," Resources, MDPI, vol. 14(1), pages 1-27, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wojciech Chmielewski & Marta Postuła & Przemysław Dubel, 2023. "The Impact of Expenditure on Research and Development on Selected Energy Factors in the European Union," Energies, MDPI, vol. 16(8), pages 1-18, April.
    2. Osarumwense Osabuohien-Irabor & Igor Mikhailovich Drapkin, 2022. "The Impact of Technological Innovation on Energy Consumption in OECD Economies: the role of Outward Foreign Direct Investment and International Trade Openness," International Journal of Energy Economics and Policy, Econjournals, vol. 12(4), pages 317-333, July.
    3. Shahzad, Umer & Ferraz, Diogo & Nguyen, Huu-Huan & Cui, Lianbiao, 2022. "Investigating the spill overs and connectedness between financial globalization, high-tech industries and environmental footprints: Fresh evidence in context of China," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    4. Sinha, Avik & Shah, Muhammad Ibrahim & Sengupta, Tuhin & Jiao, Zhilun, 2020. "Analyzing Technology-Emissions Association in Top-10 Polluted MENA Countries: How to Ascertain Sustainable Development by Quantile Modeling Approach," MPRA Paper 100253, University Library of Munich, Germany, revised 2020.
    5. Xu, Deyi & Sheraz, Muhammad & Hassan, Arshad & Sinha, Avik & Ullah, Saif, 2022. "Financial development, renewable energy and CO2 emission in G7 countries: New evidence from non-linear and asymmetric analysis," Energy Economics, Elsevier, vol. 109(C).
    6. Xiaomeng Zhao & Kangyin Dong & Jun Zhao & Qingzhe Jiang, 2024. "RETRACTED ARTICLE: Paths to sustainable development in China: why green finance and green technology matter?," Economic Change and Restructuring, Springer, vol. 57(2), pages 1-26, April.
    7. Mehmet Balcilar & Ojonugwa Usman & George N. Ike, 2023. "Investing green for sustainable development without ditching economic growth," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(2), pages 728-743, April.
    8. Huang, Anzhong & Dai, Luote & Ali, Sajid & Adebayo, Tomiwa Sunday, 2024. "From funds to footprints: Unravelling the asymmetric association between nuclear energy technology and environmental quality," Energy, Elsevier, vol. 309(C).
    9. Li, Yuchun & Durani, Farah & Syed, Qasim Raza & Abddel-Jalil Sallam, Osama Azmi, 2024. "Role of minerals rent, geopolitical risk, and economic policy uncertainty in achieving green growth: Evidence from novel wavelet quantile correlation approach," Resources Policy, Elsevier, vol. 93(C).
    10. Devran Şanlı & Nadide Gülbay Yiğiteli, 2024. "Do economic complexity and macroeconomic stability asymmetrically affect carbon emissions in OECD? Evidence from nonlinear panel ARDL approach," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(9), pages 22175-22198, September.
    11. Deng, Qiu Shi & Alvarado, Rafael & Cuesta, Lizeth & Tillaguango, Brayan & Murshed, Muntasir & Rehman, Abdul & Işık, Cem & López-Sánchez, Michelle, 2022. "Asymmetric impacts of foreign direct investment inflows, financial development, and social globalization on environmental pollution," Economic Analysis and Policy, Elsevier, vol. 76(C), pages 236-251.
    12. Cai, Yifei & Chang, Tsangyao & Inglesi-Lotz, Roula, 2018. "Asymmetric persistence in convergence for carbon dioxide emissions based on quantile unit root test with Fourier function," Energy, Elsevier, vol. 161(C), pages 470-481.
    13. Usman Mehmood & Salman Tariq & Zia ul Haq & Ephraim Bonah Agyekum & Solomon Eghosa Uhunamure & Karabo Shale & Hasan Nawaz & Shafqat Ali & Ammar Hameed, 2022. "Financial Institutional and Market Deepening, and Environmental Quality Nexus: A Case Study in G-11 Economies Using CS-ARDL," IJERPH, MDPI, vol. 19(19), pages 1-19, September.
    14. Zhao, Congyu & Wang, Kun & Dong, Xiucheng & Dong, Kangyin, 2022. "Is smart transportation associated with reduced carbon emissions? The case of China," Energy Economics, Elsevier, vol. 105(C).
    15. Alataş, Sedat, 2022. "Do environmental technologies help to reduce transport sector CO2 emissions? Evidence from the EU15 countries," Research in Transportation Economics, Elsevier, vol. 91(C).
    16. Muhammad Awais Baloch & Ilhan Ozturk & Festus Victor Bekun & Danish Khan, 2021. "Modeling the dynamic linkage between financial development, energy innovation, and environmental quality: Does globalization matter?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 176-184, January.
    17. Alice Martini, 2021. "Socially responsible investing: from the ethical origins to the sustainable development framework of the European Union," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(11), pages 16874-16890, November.
    18. Bright Akwasi Gyamfi & Asiedu B. Ampomah & Festus V. Bekun & Simplice A. Asongu, 2022. "Can information and communication technology and institutional quality help mitigate climate change in E7 economies? An environmental Kuznets curve extension," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 11(1), pages 1-20, December.
    19. Zafar, Muhammad Wasif & Shahbaz, Muhammad & Sinha, Avik & Sengupta, Tuhin & Qin, Quande, 2020. "How Renewable Energy Consumption Contribute to Environmental Quality? The Role of Education in OECD Countries," MPRA Paper 100259, University Library of Munich, Germany, revised 08 May 2020.
    20. Razzaq, Asif & Wang, Yufeng & Chupradit, Supat & Suksatan, Wanich & Shahzad, Farrukh, 2021. "Asymmetric inter-linkages between green technology innovation and consumption-based carbon emissions in BRICS countries using quantile-on-quantile framework," Technology in Society, Elsevier, vol. 66(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:365:y:2024:i:c:s0306261924005993. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.