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The investments in renewable energy sources: do low carbon economies better invest in green technologies?

Scandurra, Giuseppe and Romano, Antonio Angelo (2011): The investments in renewable energy sources: do low carbon economies better invest in green technologies?

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Abstract

The aim of this study is to analyse the driving of investment in renewable energy sources in low carbon and high carbon economies. To address these issues, a dynamic panel analysis of the renewable investment in a sample of 29 countries was proposed. Results demonstrate that the dynamic of investments in renewable sources is similar in the two panels, and depends by nuclear power generation, GDP and technological efficiency. Results show that countries try to reduce their environmental footprint, decreasing the CO2 intensity . Based on the estimation results, we think that energy sustainability passes through the use of renewable resources that can complement the nuclear technology on condition that both exceed their limits.

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