Method for Assessing the Nature of the Relationship between Energy Investment and Finance with the Criteria of Monetary Factor Thresholds

Abstract

The different methods were used to measure the impact of financial development on energy investment. This is largely due to a certain set of factors that have the influence of their relationship. First of all, based on the research results, several groups of factors are identified that determine the nonlinear interaction of the financial sector and energy investment. This is characterized by the fact that at different values of these indicators, financial development has an ambiguous impact on energy investment. There are several such groups in total. The first ones are usually institutional factors, indicators that characterize the legal system and the level of development of social institutions. In the absence of a sufficient level of legal framework, financial markets will be unstable, which will undermine the demand for financial sector services. Countries with a high level of development of legal institutions have a guarantee for economic entities in the stable development of economic relations.

Citation

Sengyu, T. (2022), "Method for Assessing the Nature of the Relationship between Energy Investment and Finance with the Criteria of Monetary Factor Thresholds", Dinçer, H. and Yüksel, S. (Ed.) Multidimensional Strategic Outlook on Global Competitive Energy Economics and Finance, Emerald Publishing Limited, Leeds, pp. 85-97. https://doi.org/10.1108/978-1-80117-898-320221010