| dc.description.abstract | This study assesses the influence of the growth of finance on the use of
renewable energy in 41 countries in Asia between 2010 and 2020. By applying a panel
data regression model, the research investigation explores the influence of financial
evolution on the adoption of renewable power. Furthermore, to enhance the empirical
aspect of the issue, the study not only examines the impact of the overall data sample
but also segments it into three distinct economic classifications (high-income, upper middle-income and lower-middle-income) for assessment. Contrary to expectations,
when evaluating the entire sample data, the results demonstrate that the progress of
growth in finances has a detrimental effect on the usage of alternative energy. This
implies that as the financial systems in these countries develop and become more
complex, there may be a tendency to favor investments in traditional energy sectors
over renewable energy sources. Furthermore, the analysis illustrates that both the inflow
of foreign investment and structure of industries also negatively affect sustainable
power consumption, reflecting the preference of traditional energy-intensive industries.
Conversely, inflation tends to be beneficial to the usage of renewable power, implying
that as prices rise there will be a transition towards more stable and sustainable energy
sources. Notably, economic development and trade openness have no significant
impact, demonstrating the complexity of the interaction between economic dynamics
and sustainable energy practices. The study’s finding emphasizes the need to implement
suitable financial and industrial policies to cultivate a supportive environment for
renewable energy development under diverse economic conditions in Asia. | en_US |
