Nexus of Economic Development, Renewable Energy Consumption and CO2 Emission in South Asia

Abstract: The central idea of the study is to scrutinize the nexus among renewable energy consumption (REC), economic development and carbon emission. Additionally, how the urbanization affects this complex relationship among three is one of the crucial questions of the study. We use the Liners Dynamic Panel Regression Model (LDPRM). Results show that the urbanization has significant role in the economic development and promotes more uses of REC. The link between REC and economic development is positive and statistically significant. Moreover, at policy level, economic development and urbanization should not degrade the environment. Keywords: Renewable Energy Consumption, Economic Development, Carbon Emission, Urbanization, South Asia JEL Classification Number: Q43; Q42; O47

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