The role of green finance in reducing CO2 emissions

An empirical analysis

Dados Bibliográficos

ID23347635
AutoresMuhammad Saeed Meo (0000-0002-8340-0442, Superior University, autor correspondente), Mohd Zaini Abd Karim (Northern University of Malaysia)
Ano2022
Volume22
Fascículo1
Páginas169-178
Data de publicação2022-01-01
Peer ReviewedSim
Open AccessSim
TipoARTICLE
PeriódicoBorsa Istanbul Review (JOURNAL)
Identificadores do periódicoISSN: 2214-8450 • E-ISSN: 2214-8469
EditoraElsevier BV (PUBLISHER)
DOI10.1016/j.bir.2021.03.002
OpenAlexW3137937089
IdiomaEN
Citações recebidas74
Referências citadas20

This study examines the relationship between green finance and carbon dioxide (CO2) emissions in the top ten economies that support green finance (Canada, Denmark, Hong Kong, Japan, New Zealand, Norway, Sweden, Switzerland, the United Kingdom, and the United States). This study uses quantile on quantile regression (QQR), introduced by Sim and Zhou (2015), to examine the dependence structure between different quantiles of green finance and CO2 emissions. Our overall findings confirm the negative impact of green finance on CO2 emissions; however, this relationship varies across the different quantiles of the two variables. This variation might be due to green finance market conditions (e.g., bearish or bullish) and country-specific market conditions. The findings in the study confirm that green finance is the best financial strategy for reducing CO2 emissions.

Carbon market · Econometrics · Economics · Financial crisis · Financial economics · Greenhouse gas · Macroeconomics · Quantile · Quantile regression · Climate Change Policy and Economics · Energy, Environment, Economic Growth · Finance · Market Dynamics and Volatility