Abstract
Economic development is attributed to higher energy consumption emerged from economic and industrial activities, whereas renewable energy is pronounced as the differentiating factor for achieving competitiveness among the economies and ensuring environmental sustainability. On the other hand, Human Capital plays the role of an interface between the inputs or resources consumed and the output generated; therefore, it can also derive economic development in a better way. Thus, this study explores the impact of human Capital, renewable energy, and the interaction of both in realizing higher economic development. For empirical analysis, we employed comparatively new panel estimation techniques “continuously updated fully modified” (Cup-FM) and “continuously updated bias-corrected” (Cup-BC) using a panel of G-10 countries. The overall results demonstrate that human Capital and renewable stimulate higher economic development. Manifestly, the interaction of both variables reports a more substantial impact on economic development, implying that human capital development is a stimulus to boost the positive effects of renewable energy sources on economic growth. Based on the findings, the stakeholders are recommended to invest in human Capital and renewable energy adoption. • CUP-FM and CUP-BC Models are employed. • Human Capital positively contributes to GDP. • Renewable Energy stimulate GDP. • Joint effects of Human capital and Renewable Energy is more substantial.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call