Abstract
This study explores to what extent the development of democracy affects energy efficiency. This study applies database reference from Freedom House, Polity IV project, International Country Risk Guide (ICRG) and World Development Indicator (WDI) to analyze the relationship between the level of democracy and energy efficiency of 35 countries in Europe from 1990 to 2013. Controlling for manufacturing value-added, price level, and GDP per capita, we find a significant statistical correlation between the level of democracy and the level of energy efficiency in a country. Empirical findings show that a high level of democracy has a significant positive impact on the improvement of national energy efficiency. Further examinations which employ quantile regression estimates indicate that the positive impact of democratic consolidation is stronger when the country is at the stage of relatively low energy efficiency. Empirical research also demonstrates that the consolidation of democratic institutions and economic development has a positive influence on the awareness of environmental conservation, thereby improving the structure of energy consumption and further reinforce the enhancement of energy efficiency.
Highlights
Greenhouse gas emissions are the major concerns among the efforts of tackling global climate change
Further examinations which employ quantile regression estimates indicate that the positive impact of democratic consolidation is stronger when the country is at the stage of relatively low energy efficiency
We analyzed the link between the democratic development and energy efficiency of 35 countries in Europe between 1990 and 2013 which applied the database from Freedom House, Polity IV project, International Country Risk Guide (ICRG), and World Development Indicator (WDI)
Summary
Greenhouse gas emissions are the major concerns among the efforts of tackling global climate change. In order to reduce greenhouse gas emissions, the United Nations Framework Convention on Climate Change (the UNFCCC) was launched in Brazil in 1992. In later years, aiming to reduce greenhouse gas emissions, various international regulations were established. As the most high-profile examples, Kyoto Protocol was signed in 1997; the Paris Agreement was passed in the UN Climate Change Conference in 2015 and was signed by the international community in New York in 2016. The two international agreements jointly provide a standardized guideline for the improvement of global greenhouse gas emissions and energy use after 2020. Every country that emits greenhouse gases has to shoulder proportional responsibilities of reducing the emissions. Cutting carbon emissions and tackling climate change while ensuring economic prosperity became a priority for every single country and the international community
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