Nvestigating the Impact of Foreign Direct Investment on Renewable Energy on Environmental Disasters in OECD Countries
Today, economic growth and development in all countries, although positive and constructive goals appear, but has negative effects on other sectors and areas, including the environment. In recent years, a topic that has attracted much attention is the discussion of the negative side effects of globalization and trade liberalization and its effects on environmental degradation. It has made the environment more obvious. On the other hand, energy demand and economic development are increasing due to the need to meet basic human needs and productivity. However, efforts to meet global energy demand have led to the use of unsustainable environmental energy resources that have had an impact on environmental degradation. The purpose of this study is to investigate the impact of foreign direct investment in non-renewable energy on environmental degradation by examining the pollution shelter hypothesis in OECD member countries during the years 1990-2019. For this purpose, PMG ARDL test was used to obtain long-term and short-term relationships between research variables and Granger causality test was used to investigate the causal relationship between variables using composite data. Increased foreign direct investment in non-renewable energy and economic growth, along with education and population size, support the pollution shelter hypothesis, but foreign direct investment in renewable energy in OECD countries has rejected the halo hypothesis.
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