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Foreign direct investment, technology transfer and the global issuance of green bonds
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-04 DOI: 10.1016/j.eneco.2025.108246
Lukas Christnacht , Charilaos Mertzanis
This study examines the effect of foreign direct investment and technology transfer on the issuance of green bonds, utilizing new International Monetary Fund data for sixty-seven countries from 2000 to 2022. Our findings show that countries promoting foreign direct investment-based technology transfers experience increased growth in green bond issuance, highlighting the connection between industrial, environmental, and sustainable finance considerations. Financial, environmental and institutional factors—such as biodiversity and landscape protection expenditure, geopolitical risks, net electricity imports, sovereign debt ratings, and inflation—are also linked to higher green bond issuance. However, the influence of foreign direct investment and technology transfer may be nonlinear and immediate. Countries focusing on foreign direct investment-based technology transfer may experience difficulties in advancing green finance due to concerns about economic and political dependence. Additionally, factors such as the availability of scientists and engineers, innovation capacity, and monetary policy tightness significantly mediate the effect of foreign direct investment-based technology transfer on green finance. These insights offer valuable guidance for both public and private sector initiatives involved in green financing.
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引用次数: 0
Corrigendum to “Asymmetric impacts of Chinese climate policy uncertainty on Chinese asset prices” [Energy Economics Volume 133, May 2024, 107518]
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-04 DOI: 10.1016/j.eneco.2025.108264
Najaf Iqbal , Elie Bouri , Syed Jawad Hussain Shahzad , Naif Alsagr
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引用次数: 0
The CO2 emission effects of global supply chain geographic restructuring on emerging economies
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.eneco.2025.108255
Yafei Yang , Hui Wang , Peng Zhou
Global supply chains (GSCs) have undergone profound geographic restructuring, and the emerging economies have played an increasingly important role. A better understanding of the CO2 emission effects of GSC restructuring is essential for emerging economies to address the increasing complexity in emissions mitigation. To this end, we assess the emission effects of GSC geographic restructuring in both intermediates sourcing and final production on 204 emerging economies during 2010–2019. With the multi-regional input-output model and structural decomposition analysis technique, this study reveals that GSC geographic restructuring significantly raised emerging economies' emissions, with the relocation of intermediates sourcing and final production respectively contributing by 2695.9 Mt. and 1622.2 Mt. In particular, China, Southeast and Central Asia and Sub-Saharan Africa saw a greater emissions growth from the GSC production relocation but South Asia from the GSC sourcing relocation. On the contrary, GSC relatively shifting away from Latin America, Middle East and North Africa led to obvious emission reductions. Regional heterogeneities in the sectoral sources and technology effect of GSC emissions have further been identified. The empirical results can inform policymaking for emissions mitigation in the emerging economies during their integration into GSCs.
{"title":"The CO2 emission effects of global supply chain geographic restructuring on emerging economies","authors":"Yafei Yang ,&nbsp;Hui Wang ,&nbsp;Peng Zhou","doi":"10.1016/j.eneco.2025.108255","DOIUrl":"10.1016/j.eneco.2025.108255","url":null,"abstract":"<div><div>Global supply chains (GSCs) have undergone profound geographic restructuring, and the emerging economies have played an increasingly important role. A better understanding of the CO<sub>2</sub> emission effects of GSC restructuring is essential for emerging economies to address the increasing complexity in emissions mitigation. To this end, we assess the emission effects of GSC geographic restructuring in both intermediates sourcing and final production on 204 emerging economies during 2010–2019. With the multi-regional input-output model and structural decomposition analysis technique, this study reveals that GSC geographic restructuring significantly raised emerging economies' emissions, with the relocation of intermediates sourcing and final production respectively contributing by 2695.9 Mt. and 1622.2 Mt. In particular, China, Southeast and Central Asia and Sub-Saharan Africa saw a greater emissions growth from the GSC production relocation but South Asia from the GSC sourcing relocation. On the contrary, GSC relatively shifting away from Latin America, Middle East and North Africa led to obvious emission reductions. Regional heterogeneities in the sectoral sources and technology effect of GSC emissions have further been identified. The empirical results can inform policymaking for emissions mitigation in the emerging economies during their integration into GSCs.</div></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"143 ","pages":"Article 108255"},"PeriodicalIF":13.6,"publicationDate":"2025-02-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143350071","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Exploring the output effects on price-induced interfuel substitution and carbon dioxide emission
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.eneco.2025.108277
Hyonyong Kang , Dong Hee Suh
This study explores how output effects influence price-induced interfuel substitution and examines its impact on CO2 emissions in the Korean industrial sector. Employing the differential fuel allocation model, which incorporates output supply decisions, we decompose the price response of energy demand to identify both substitution and output effects and simulate the resulting price-induced CO2 emissions. The results provide empirical evidence of substitutable relationships among coal, oil, and electricity, particularly showing that electrification helps substitute for coal and oil. In addition, the decomposition results reveal that the output effects strengthen own-price response but weaken cross-price response, reflecting the industrial sector's tendency to adjust output supply in response to cost pressures from rising energy prices, especially oil prices. Regarding price-induced CO2 emissions, the simulation results suggest the possibility of over- or under-estimating changes in net CO2 emissions if the output effects are not considered. Notably, they reveal that a rise in oil and gas prices can lead to a reduction in net CO2 emissions due to the output effects.
{"title":"Exploring the output effects on price-induced interfuel substitution and carbon dioxide emission","authors":"Hyonyong Kang ,&nbsp;Dong Hee Suh","doi":"10.1016/j.eneco.2025.108277","DOIUrl":"10.1016/j.eneco.2025.108277","url":null,"abstract":"<div><div>This study explores how output effects influence price-induced interfuel substitution and examines its impact on CO2 emissions in the Korean industrial sector. Employing the differential fuel allocation model, which incorporates output supply decisions, we decompose the price response of energy demand to identify both substitution and output effects and simulate the resulting price-induced CO2 emissions. The results provide empirical evidence of substitutable relationships among coal, oil, and electricity, particularly showing that electrification helps substitute for coal and oil. In addition, the decomposition results reveal that the output effects strengthen own-price response but weaken cross-price response, reflecting the industrial sector's tendency to adjust output supply in response to cost pressures from rising energy prices, especially oil prices. Regarding price-induced CO2 emissions, the simulation results suggest the possibility of over- or under-estimating changes in net CO2 emissions if the output effects are not considered. Notably, they reveal that a rise in oil and gas prices can lead to a reduction in net CO2 emissions due to the output effects.</div></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"143 ","pages":"Article 108277"},"PeriodicalIF":13.6,"publicationDate":"2025-02-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143419165","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Income targeting in consumer energy efficiency programs
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.eneco.2025.108249
Nathan W. Chan , Isla Globus-Harris
Consumer energy efficiency programs are common around the world, and they frequently include some form of income-based targeting, whether intentional or not. In this paper, we ask: What are the environmental and welfare impacts of income-based targeting in consumer energy efficiency programs? To that end, we present a model with high- and low-income consumers, and we analyze how income targeting affects consumer welfare, distribution, and input (fuel) externalities. We derive a number of policy-relevant expressions that illuminate how initial appliance stocks, energy service demand levels, and demand responsiveness underpin these welfare impacts, and we analyze how these expressions differ across various real-world applications. We furthermore illustrate core trade-offs using two simulations. We offer actionable and easy-to-implement guidance to policymakers and program managers considering income targeting provisions.
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引用次数: 0
From pro-environmental behavior to ESG fund investing: Evidence from account-level data in China
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.eneco.2025.108271
Shuitu Qian, Hang You, Die Wan
Utilizing the green energy collected through the “Ant Forest” project to measure investors' pro-environmental behavior (PEB), the paper finds that investors' PEB positively impacts the weighted Environmental, Social, and Governance (ESG) score of their mutual fund positions. Additionally, when classifying PEBs into egoistic and altruistic behaviors based on specific sources of green energy, the study reveals that altruistic PEBs have a more substantial influence than egoistic PEBs. Further analysis demonstrates that egoistic PEBs become more significantly related to ESG investing when investors face extreme weather events, poor air quality, or seek to enhance their reputation. Although ESG investing transformed from altruistic and egoistic PEBs results in negative excess returns, egoistic investors experience a significant reduction in risk through ESG fund investments. In contrast, altruistic investors are willing to pay higher costs. These findings suggest that even though altruism predominantly drives the transformation from PEB to sustainable investment, egoism can also play a role when investors seek to mitigate uncertainties, diversify their portfolios, or promote social validation. Overall, these results contribute to our understanding of the motives behind sustainable investment.
{"title":"From pro-environmental behavior to ESG fund investing: Evidence from account-level data in China","authors":"Shuitu Qian,&nbsp;Hang You,&nbsp;Die Wan","doi":"10.1016/j.eneco.2025.108271","DOIUrl":"10.1016/j.eneco.2025.108271","url":null,"abstract":"<div><div>Utilizing the green energy collected through the “Ant Forest” project to measure investors' pro-environmental behavior (PEB), the paper finds that investors' PEB positively impacts the weighted Environmental, Social, and Governance (ESG) score of their mutual fund positions. Additionally, when classifying PEBs into egoistic and altruistic behaviors based on specific sources of green energy, the study reveals that altruistic PEBs have a more substantial influence than egoistic PEBs. Further analysis demonstrates that egoistic PEBs become more significantly related to ESG investing when investors face extreme weather events, poor air quality, or seek to enhance their reputation. Although ESG investing transformed from altruistic and egoistic PEBs results in negative excess returns, egoistic investors experience a significant reduction in risk through ESG fund investments. In contrast, altruistic investors are willing to pay higher costs. These findings suggest that even though altruism predominantly drives the transformation from PEB to sustainable investment, egoism can also play a role when investors seek to mitigate uncertainties, diversify their portfolios, or promote social validation. Overall, these results contribute to our understanding of the motives behind sustainable investment.</div></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"143 ","pages":"Article 108271"},"PeriodicalIF":13.6,"publicationDate":"2025-02-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143350004","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Can artificial intelligence technology reduce carbon emissions? A global perspective
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.eneco.2025.108285
Qingfeng Cao , Chuenyu Chi , Junhui Shan
Whether Artificial Intelligence (AI) technology can contribute to carbon reduction remains an issue that requires further research. We measure the level of AI technology by the number of AI patents filed in each country, and use panel data from 30 countries spanning 2005 to 2020 to examine the impact of AI technology on carbon emissions. Our findings indicate that AI technology significantly reduces carbon emission levels. This conclusion remains robust after endogeneity and various robustness tests. Mechanism tests reveal that AI technology improves energy efficiency by reducing per capita carbon emissions and the energy intensity of primary energy. Additionally, AI technology reduces carbon emissions by inducing skill-biased and routine-biased technological change. When government regulation is more flexible, the carbon-reducing effect of AI technology is stronger. Further analysis indicates that AI technology has a significant impact on reducing carbon emissions in countries that are closer to the leading country in AI technology, have lower income level, and are highly dependent on traditional fossil fuels. Moreover, the carbon reduction effects of AI technology applied to energy management are more significant. Thus, promoting the innovation and diffusion of AI technology on a global scale plays a crucial role in advancing global carbon reduction targets.
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引用次数: 0
The impact of financing structures on the cost of carbon dioxide transport
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-02 DOI: 10.1016/j.eneco.2025.108253
Katrin Sievert , Alexandru Stefan Stefanescu , Pauline Oeuvray , Bjarne Steffen
The economic operation of carbon capture and storage (CCS) facilities hinges on the availability of CO2 transport infrastructure, and the financing structure of new transport assets will affect CO2 transport cost. Building on economic studies of infrastructure finance in other sectors, we empirically calibrate the cost of capital and operational efficiency under different financing structures, considering CO2 transport via pipelines, barges, trains, and ships in a levelized transport cost model. Our results show that the choice of financing structure can result in transport cost differences of up to 26% for pipelines, with smaller effects observed for the other transport modes. Generally, public finance emerges as the most cost-effective financing structure for all CO2 transport modes; the advantages of a lower cost of capital compared to private finance options outweigh the associated operational efficiency disadvantages. While additional aspects beyond cost must be considered when selecting financing structures for new infrastructure assets, our ex-ante analysis underlines the importance of financing structures for the economic viability of CO2 transport assets, and for CCS more broadly.
{"title":"The impact of financing structures on the cost of carbon dioxide transport","authors":"Katrin Sievert ,&nbsp;Alexandru Stefan Stefanescu ,&nbsp;Pauline Oeuvray ,&nbsp;Bjarne Steffen","doi":"10.1016/j.eneco.2025.108253","DOIUrl":"10.1016/j.eneco.2025.108253","url":null,"abstract":"<div><div>The economic operation of carbon capture and storage (CCS) facilities hinges on the availability of CO<sub>2</sub> transport infrastructure, and the financing structure of new transport assets will affect CO<sub>2</sub> transport cost. Building on economic studies of infrastructure finance in other sectors, we empirically calibrate the cost of capital and operational efficiency under different financing structures, considering CO<sub>2</sub> transport via pipelines, barges, trains, and ships in a levelized transport cost model. Our results show that the choice of financing structure can result in transport cost differences of up to 26% for pipelines, with smaller effects observed for the other transport modes. Generally, public finance emerges as the most cost-effective financing structure for all CO<sub>2</sub> transport modes; the advantages of a lower cost of capital compared to private finance options outweigh the associated operational efficiency disadvantages. While additional aspects beyond cost must be considered when selecting financing structures for new infrastructure assets, our ex-ante analysis underlines the importance of financing structures for the economic viability of CO<sub>2</sub> transport assets, and for CCS more broadly.</div></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"143 ","pages":"Article 108253"},"PeriodicalIF":13.6,"publicationDate":"2025-02-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143350005","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Energy transition and decarbonization 能源转型和脱碳
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-01 DOI: 10.1016/j.eneco.2024.108117
Paolo Falbo , Giorgia Oggioni , Rossana Riccardi , Sergio Vergalli
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引用次数: 0
Cost sharing mechanisms for carbon pricing: What drives support in the housing sector? 碳定价的成本分担机制:是什么推动了住房部门的支持?
IF 13.6 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-01 DOI: 10.1016/j.eneco.2024.108134
Kathrin Kaestner , Stephan Sommer , Jessica Berneiser , Ralph Henger , Christian Oberst
The building sector offers an important lever for reducing carbon emissions, with carbon pricing considered as one essential policy instrument to unleash this potential. Yet, carbon pricing in residential buildings faces challenges, particularly in rental housing, as the financial burden and thus the incentives to reduce carbon emissions may be distributed differently between landlords and tenants, presenting a principal–agent problem that may lead to conflict and low public support. Using extensive survey data from about 12,000 households, we analyze the support for different concepts to share the cost burden owed to carbon pricing between landlords and tenants. We particularly examine the role of perceived cost, effectiveness, and fairness and experimentally study the impact of revenue use and carbon price level on public preferences. Our results suggest that the price level and revenue use hardly affect support, whereas tenancy – and thus self-interest – as well as perceived fairness of the sharing concept strongly correlate with preferences. Overall, a sharing mechanism according to the energy efficiency of the building is the most preferred cost allocation among our participants.
建筑行业为减少碳排放提供了一个重要的杠杆,碳定价被认为是释放这一潜力的一项重要政策工具。然而,住宅建筑的碳定价面临着挑战,特别是在租赁住房中,因为财政负担和减少碳排放的激励可能在房东和租户之间分配不同,从而出现委托代理问题,这可能导致冲突和低公众支持。本文利用约1.2万户家庭的广泛调查数据,分析了房东和租客之间分担碳定价成本负担的不同概念的支持度。我们特别研究了感知成本、有效性和公平性的作用,并通过实验研究了收入使用和碳价格水平对公众偏好的影响。我们的研究结果表明,价格水平和收入使用几乎不影响支持,而租赁-因此自利-以及共享概念的感知公平性与偏好密切相关。总体而言,根据建筑的能源效率建立共享机制是我们参与者最喜欢的成本分配方式。
{"title":"Cost sharing mechanisms for carbon pricing: What drives support in the housing sector?","authors":"Kathrin Kaestner ,&nbsp;Stephan Sommer ,&nbsp;Jessica Berneiser ,&nbsp;Ralph Henger ,&nbsp;Christian Oberst","doi":"10.1016/j.eneco.2024.108134","DOIUrl":"10.1016/j.eneco.2024.108134","url":null,"abstract":"<div><div>The building sector offers an important lever for reducing carbon emissions, with carbon pricing considered as one essential policy instrument to unleash this potential. Yet, carbon pricing in residential buildings faces challenges, particularly in rental housing, as the financial burden and thus the incentives to reduce carbon emissions may be distributed differently between landlords and tenants, presenting a principal–agent problem that may lead to conflict and low public support. Using extensive survey data from about 12,000 households, we analyze the support for different concepts to share the cost burden owed to carbon pricing between landlords and tenants. We particularly examine the role of perceived cost, effectiveness, and fairness and experimentally study the impact of revenue use and carbon price level on public preferences. Our results suggest that the price level and revenue use hardly affect support, whereas tenancy – and thus self-interest – as well as perceived fairness of the sharing concept strongly correlate with preferences. Overall, a sharing mechanism according to the energy efficiency of the building is the most preferred cost allocation among our participants.</div></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"142 ","pages":"Article 108134"},"PeriodicalIF":13.6,"publicationDate":"2025-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142968127","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
期刊
Energy Economics
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