Yemane Wolde?Rufael|Eyob Mulat-Weldemeskel
The moderating role of environmental tax and renewable energy in CO2 emissions in Latin America and Caribbean countries: Evidence from method of moments quantile regression
London Metropolitan University
paper investigates effectiveness environmental tax renewable energy mitigating co2 emissions 18 latin america caribbean lac countries period 19942018 controlling financial development nonrenewable energy economic growth applied recently novel panel methods moments quantile regression mmqr fixed effects rigorously analyze hypothesized relationship also applied number conventional estimators including augmented mean group amg dynamic ordinary least squares dols driscoll kraay estimators evidence shows effect environmental tax renewable energy co2 emissions heterogeneous significant negative effect higher emissions countries insignificant effect lower emission countries results mmqr together estimators show environmental tax renewable energy reduce co2 emissions mitigation effect renewable energy considerably higher environmental tax granger causality test also reveals environmental tax renewable energy unidirectionally cause co2 emissions also found environmental tax reduces co2 emissions also promotes renewable energy evidence indicates environmental tax renewable energy effective instruments promoting environmental quality lac environmental sustainability countries promoted increasing environment tax investing renewables reducing nonrenewable energy consumption