Search results

This study aims to analyze the convergence of environmental degradation clubs in the Association of Southeast Asian Nations (ASEAN). In addition, this study also analyzes the influence of renewable energy and foreign direct investment (FDI) on each club as an intervention to change the convergence pattern in each club.

This study analyzes the club convergence of environmental degradation in an effort to find out the distribution of environmental degradation reduction policies. This study uses club convergence with the Phillips and Sul (PS) convergence methodology because it considers multiple steady-states and is robust. This study uses annual panel data from 1998 to 2020 and ASEAN country units with ecological footprints as proxies for environmental degradation. After obtaining the club results, the analysis continued by analyzing the impact of renewable energy and FDI on each club using panel data regression and the Stochastic Impacts by Regression on Population, Affluence and Technology model specification.

Based on club convergence, ASEAN countries can be grouped into three clubs with two divergent countries. Club 1 has an increasing pattern of environmental degradation, while Club 2 and Club 3 show no increase. Club 1 can primarily apply renewable energy to reduce environmental degradation, while Club 2 requires more FDI. The authors expect policymakers to take into account the clubs established to formulate collaborative policies among countries. The result that FDI reduces environmental degradation in this study is in line with the pollution halo hypothesis. This study also found that population has a significant effect on environmental degradation, so policies to regulate population need to be considered. On the other hand, increasing income has no effect on reducing environmental degradation. Therefore, the use of renewable energy and FDI toward green investment is expected to intensify within ASEAN countries to reduce environmental degradation.

This research is by far the first to apply PS Club convergence to environmental degradation in ASEAN. In addition, this study is also the first to analyze the influence of renewable energy and FDI on each club formed, considering the need for renewable energy use that has not been maximized in ASEAN.

In the process of industrial growth, when existing industries go for technology upgradation and new modernised industries emerge, both capital intensity and energy demand of overall industry tend to rise steadily. This poses a serious challenge for sustainable development objectives. Towards this end, enhancing energy efficiency of individual industries is the only remedy. Against this backdrop, the study aims to probe the trends in capital intensities and energy efficiencies of individual industries in India.

This study uses panel data regression analysis on data of two-digit industries from 1980/1981–2016/2017. The statistical analysis includes relevant macroeconomic variables derived from the literature to ascertain the drivers of energy efficiency in industries.

The results brought out that capital deepening due to technology upgradation and modernisation and capital productivity growth are the decisive determinants of energy efficiency growth. Furthermore, the ever-increasing fuel price motivated industries to conserve energy on a steady basis, supplemented by energy conservation-specific policy interventions.

This study recommends policy initiatives to ascertain and address technology gaps industry-wise, so that its subsequent efficient capital utilisation, and energy conservation measures of industries would result in energy efficiency growth in industry. The policy must focus on energy-efficient capital intensification in fabricated metals, leather, textile and wood industries that are found less-energy-efficient despite being less-capital-intensive.

This study empirically explores the capital efficiency of industries by investigating the interaction between capital intensity and energy efficiency at a two-digit industry level. It explores the determinants of energy efficiency and proposes industry-specific policies for energy-efficiency-enhancement of the overall industry.

The complexity of contemporary societal challenges in emerging countries reanimates the necessity of collective action to resolve them. What is required is system change, namely, transformations in policy, practice, power relationships, market dynamics and social customs that underlie social and environmental issues. Technological innovations, paired with intentional social changes, might play a transformative role in this effort. This paper aims to investigate the relationship between the adoption of technologies in social enterprises (SEs) and their contribution to achieving system change. It also addresses the effects of their hybrid nature on this relationship.

The analysis relied on data collected through a survey of the global population of Ashoka fellows, which is largely based in emerging economies. Three models were developed concerning different pathways to achieve system change identified in the theoretical framework. These were tested using Probit regressions.

The investigation confirms that technology can support SEs in navigating complex pathways to achieve system change rather than merely enabling linear scaling operational strategies. The pursuit of economic value creation, in conjunction with a social mission, decreases the ability of SEs to achieve system change. This is because the scaling paths which hardly create revenues are neglected.

The study conceptualises a multifaceted model of system change. It tests the framework empirically to show that SEs can adopt technologies to unleash complex system change processes to generate societal impact, on top of merely demonstrating linear approaches to scaling or replication. The paper questions the capacity of SEs to facilitate system change without appropriate financial support and the inherent tensions between hybridity and the depth of system change dynamics.

The study aims to explore the moderation effect of renewable energy consumption (REC) on the relationship between foreign direct investment (FDI) inflows and carbon emission (CO₂). Furthermore, the study investigates the prevalence of rebound effect in energy efficiency for the top five FDI inbound destinations in the Asia-Pacific region.

The study uses a balanced panel data set spanning from 1995 to 2020 obtained from the World Bank Database. This paper used feasible generalized least squares (FGLS) as the primary method, and to ensure the robustness of the findings, this paper used the panels corrected standard errors (PCSE) model.

The findings reveal a negative relationship between FDI and CO₂ emissions and REC and CO₂ emissions. However, the moderation effect of REC on the relationship between FDI inflows and CO₂ emissions is positive, suggesting that when both FDI and REC increase simultaneously, carbon emissions also increase. This study attributes the observed positive moderation effect to the phenomenon known as the rebound effect.

FDI fosters environmental sustainability. Regions’ FDI policies can be guidelines for other nations aiming for similar outcomes. REC reduces CO₂ emissions, underlining renewable energy’s efficacy. However, positive moderation effect of REC on the relationship between FDI and CO₂ emissions highlights the necessity for balanced policies to prevent unintended consequences like the rebound effect.

The originality of this study lies in examining the prevalence of rebound effect in energy efficiency. Prior empirical studies have explored the relationship between REC and carbon emission and established that increased efficiency in renewable energy creates positive environmental and climate externalities. However, it is constrained by rebound effects and this has been ignored by previous studies.