Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach
This study examines the effects of banking development, economic growth and consumption of renewable energy on carbon dioxide (CO2) emissions and load capacity factor (LCF). Previous empirical studies have assessed the interrelationship between banking development and CO2 emissions; however, these s...
| Main Authors: | , , , , , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Elsevier
2023-10-01
|
| Series: | Heliyon |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S2405844023077927 |
| _version_ | 1797646544818667520 |
|---|---|
| author | Xiangyu Wang Bushra Sarwar Mohammad Haseeb Ahmed Samour Md. Emran Hossain Mustafa Kamal Mohammad Faisal Khan |
| author_facet | Xiangyu Wang Bushra Sarwar Mohammad Haseeb Ahmed Samour Md. Emran Hossain Mustafa Kamal Mohammad Faisal Khan |
| author_sort | Xiangyu Wang |
| collection | DOAJ |
| description | This study examines the effects of banking development, economic growth and consumption of renewable energy on carbon dioxide (CO2) emissions and load capacity factor (LCF). Previous empirical studies have assessed the interrelationship between banking development and CO2 emissions; however, these studies have ignored supply-side ecological issues. To overcome this issue, this study evaluates the effect of banking development on LCF, which is considered to be one of the most comprehensive ecological proxies to date, including both biocapacity and ecological footprint (EF). Using the bootstrap autoregressive distributed lag model, the study reveals that renewable energy improves ecological quality in Germany. The results of the investigation demonstrate that the environmental Kuznets curve hypothesis is valid in Germany using CO2 emissions and LCF indicators. Furthermore, this study demonstrates that banking growth and renewable energy in Germany correlate with improved environmental quality. These findings provide policymakers with important insights. In this context, the study advises the banking industry and government authorities to leverage banking expansion to support green energy to achieve the national goal of zero CO2 emissions by 2045. |
| first_indexed | 2024-03-11T15:03:11Z |
| format | Article |
| id | doaj.art-d9188993f8a94de081dcb319c814a88e |
| institution | Directory Open Access Journal |
| issn | 2405-8440 |
| language | English |
| last_indexed | 2024-03-11T15:03:11Z |
| publishDate | 2023-10-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Heliyon |
| spelling | doaj.art-d9188993f8a94de081dcb319c814a88e2023-10-30T06:06:39ZengElsevierHeliyon2405-84402023-10-01910e20584Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approachXiangyu Wang0Bushra Sarwar1Mohammad Haseeb2Ahmed Samour3Md. Emran Hossain4Mustafa Kamal5Mohammad Faisal Khan6School of Economics and Trade, Hunan University, Changsha, 410082, Hunan, ChinaSchool of Management Sciences, Ghulam Ishaq Khan Institute of Engineering Sciences and Technology, PakistanSchool of Economics and Management, and Center for Industrial Economics, Wuhan University, Wuhan, 430072, ChinaDepartment of Accounting, Dhofar University, Salalah, Sultanate of OmanDepartment of Agricultural Sciences, Texas State University, San Marcos, Texas, 78666, USA; Corresponding author.Department of Basic Sciences, College of Science and Theoretical Studies, Saudi Electronic University, Dammam, 32256, Saudi Arabia; Corresponding author.Department of Basic Sciences, College of Science and Theoretical Studies, Saudi Electronic University, Riyadh, 11673, Saudi ArabiaThis study examines the effects of banking development, economic growth and consumption of renewable energy on carbon dioxide (CO2) emissions and load capacity factor (LCF). Previous empirical studies have assessed the interrelationship between banking development and CO2 emissions; however, these studies have ignored supply-side ecological issues. To overcome this issue, this study evaluates the effect of banking development on LCF, which is considered to be one of the most comprehensive ecological proxies to date, including both biocapacity and ecological footprint (EF). Using the bootstrap autoregressive distributed lag model, the study reveals that renewable energy improves ecological quality in Germany. The results of the investigation demonstrate that the environmental Kuznets curve hypothesis is valid in Germany using CO2 emissions and LCF indicators. Furthermore, this study demonstrates that banking growth and renewable energy in Germany correlate with improved environmental quality. These findings provide policymakers with important insights. In this context, the study advises the banking industry and government authorities to leverage banking expansion to support green energy to achieve the national goal of zero CO2 emissions by 2045.http://www.sciencedirect.com/science/article/pii/S2405844023077927Bootstrap ARDLGermanyBanking developmentEnergyLoad capacity factor |
| spellingShingle | Xiangyu Wang Bushra Sarwar Mohammad Haseeb Ahmed Samour Md. Emran Hossain Mustafa Kamal Mohammad Faisal Khan Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach Heliyon Bootstrap ARDL Germany Banking development Energy Load capacity factor |
| title | Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach |
| title_full | Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach |
| title_fullStr | Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach |
| title_full_unstemmed | Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach |
| title_short | Impact of banking development and renewable energy consumption on environmental sustainability in Germany: Novel findings using the bootstrap ARDL approach |
| title_sort | impact of banking development and renewable energy consumption on environmental sustainability in germany novel findings using the bootstrap ardl approach |
| topic | Bootstrap ARDL Germany Banking development Energy Load capacity factor |
| url | http://www.sciencedirect.com/science/article/pii/S2405844023077927 |
| work_keys_str_mv | AT xiangyuwang impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT bushrasarwar impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT mohammadhaseeb impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT ahmedsamour impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT mdemranhossain impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT mustafakamal impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach AT mohammadfaisalkhan impactofbankingdevelopmentandrenewableenergyconsumptiononenvironmentalsustainabilityingermanynovelfindingsusingthebootstrapardlapproach |