Suchergebnisse

Purpose
– The paper aims to study the relationship between economic growth, nuclear energy consumption and carbon dioxide (CO2) emissions for a panel of 25 countries over a period of 1993-2010. Through this study, the author has provided an insight into one of the available sources of energy, i.e. nuclear energy and its impact on economic growth and CO2 emissions.


Design/methodology/approach
– Separate panels are created for developing and developed economies. Short- and long-run causalities between the variables are established using error correction mechanism.


Findings
– For the developed countries, short-run causality running from CO2 emissions to economic growth was estimated, whereas strong form of causality indicated the dependence of CO2 emissions on economic growth and nuclear energy consumption was seen to impact CO2 emissions. For the developing countries, both the short-run and strong-form causality estimates indicate that economic growth causes CO2 emissions.


Practical implications
– On policy front, developing countries can safely adopt CO2 cut-back policies as they are not found to impact economic growth. For the developed countries, such policies may impede growth in the short run, but in the long run these policies do not affect the economic growth.


Originality/value
– Keeping in mind the significance of nuclear energy consumption in economic growth and less/no GHG emissions generated by nuclear energy, this study validates its significance. This study, to the best of the author's knowledge, considers the largest panel (i.e. 25 countries) to date and the only study that focuses on studying three different panels (complete dataset, developed countries, developing countries) in one study and applies the vector error correction mechanism to study the causal relationship between nuclear energy consumption, CO2 emissions and economic growth.

PurposeThe aim of this paper is to get an insight into the potential determinants of foreign direct investment (FDI) for a panel of ten OECD member countries over the period of 1985‐2009.Design/methodology/approachGranger causality tests have been implemented in the study to identify causalities, both in the short‐ and long‐run, between FDI and the variables that emerge as significant determinants of FDI during the regression analysis.FindingsThe fixed effects estimation indicates that market size, labor cost and quality of infrastructure yield significant coefficients in relation to FDI for the panel of countries under study. A bi‐directional short‐run relationship is established between market size and labor costs in the short‐run; whereas quality of infrastructure causes market size and labor costs in the short‐run. For the long‐run deviation of FDI from equilibrium, market size, labor costs and quality of infrastructure all bear the joint burden in the short‐run to re‐establish the equilibrium.Practical implicationsThe research findings have a number of policy implications for the OECD countries in specific and other developed economies in general. Labor costs seem to affect the FDI decision on the part of investors; therefore, the countries with low labor costs are preferred by investors in order to reduce the cost of their business and products. Policies should be devised to reduce the labor costs and improve the equality of infrastructure in the country in order to attract more FDI into the economy and for quick adjustment purposes in case of shock to the system.Originality/valueThis paper investigates the relationship and significance of nine potential determinants of FDI in ten OECD member nations using panel data methods. The practices that are undertaken in developed and established economies are of vast significance to the economies that are in transition stages. The paper uncovers some important factors influencing FDI in the ten countries under study and provide a guide‐map for other developed countries.