Abstract
<p>Energy consumption in driving the industrialization of the economy in its development must be accompanied by regulatory policies that support so that this energy can be used efficiently. This study aims to determine the effect of CO2 emissions, energy consumption, and coal use on per capita economic growth in Indonesia. Secondary data used are time series sourced from the World Bank, the Central Bureau of Statistics, and related agencies during the period 1985 to 2019. The analytical tool used in this study is multiple linear regression based on Ordinary Least Square (OLS) along with statistical tests and Classical Assumption Test. The estimation results conducted show that the CO2 emission variable has a significant effect and has a positive relationship to Gross Domestic Product (GDP) per capita in Indonesia and the variables of coal consumption and energy consumption have a negative correlation to GDP per capita and seen from the probability value of the variable coal consumption statistically does not have a significant effect on GDP per capita in Indonesia.</p>
Highlights
An indicator that is often used to measure a country's economic performance is economic growth
This study aims to determine the effect of CO2 emissions, coal consumption, and energy consumption on economic growth per capita in Indonesia
Based on the results of the above research, it can be concluded that CO2 emissions have a positive and significant effect on economic growth per capita
Summary
An indicator that is often used to measure a country's economic performance is economic growth. Economic growth is not spared from economic activity by the community, especially since the population of Indonesia has increased from year to year. The rapid population growth has an impact on aspects of human life, one of which is the use of energy resources. Economic activity is inseparable from the use of natural resources, especially natural resources that produce energy. The nature of energy is very complex and dynamic in the economy for consumption needs in the household and industrial sectors in their production activities. This was revealed by Stern (2003) that the use or consumption of energy is a means to drive economic industrialization. It is further stated that energy consumption is a means of accumulating development capital, either complementary or substitution in producing outputs in the economy
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