Search Results (11)

This article examines the influence of renewable energy consumption, real GDP per capita, exports and imports on consumption-based CO₂ emissions in Azerbaijan from 1993 to 2019 by employing the Dynamic Ordinary Least Squares Method (DOLS). The results reveal that renewable energy consumption has a negative impact on CO₂ emissions, while real GDP per capita has a positive effect. According to the findings, a 1% increase in renewable energy consumption leads to a 0.26% decrease in consumption-based CO₂ emissions, while a 1% rise in real GDP per capita leads to a 0.46% rise in consumption-based CO₂ emissions. In addition, imports and exports show positive and negative effects respectively. Numerically, a 1% rise in imports results in a 0.18% rise in CO₂ emissions, whereas a 1% increase in exports reduces CO₂ emissions by 0.16%. This is consistent with expectations and theoretical outcomes described in the functional specification and data section. The negative influence of renewable energy consumption, as well as the larger effect of imports, emphasize the necessity of implementing ecologically friendly measures in both energy sectors (particularly, the need to increase the share of renewable energy in total energy use) and international trade. Full article

The purpose of this study is to identify the most significant issues to handle brain drains to provide sustainability in emerging economies. In this framework, a new model has been created that consists of two different stages for this situation. Firstly, necessary criteria are identified based on the key items of the balanced scorecard approach. These factors are weighted by using a bipolar q-rung orthopair fuzzy multi stepwise weight assessment ratio analysis (BOFQ M-SWARA) approach with golden ratio. Next, seven emerging economies are ranked with respect to their performance in decreasing brain drains by BOFQ, the elimination and choice of translating reality (ELECTRE) with the golden ratio. An evaluation is also carried out with intuitionistic fuzzy sets (IFSs) and Pythagorean fuzzy sets (PFSs) to test the validity of the findings. The results are similar for all different fuzzy sets, which indicates that the findings are quite coherent and reliable. The most important factor in reducing brain drain has been identified as technical competency. It would be appropriate for countries to provide tax exemptions for research and development studies. This situation can easily attract the attention of companies, as it will contribute to the reduction of costs. Thus, it will be easier to provide technological innovations in the country in the future. Thanks to technological development, it is possible to increase the productivity of enterprises in the country. In this way, the brain drain problem can be minimized as qualified personnel stay in the country. With the high number of qualified people in the country, it will be possible to produce eco-innovative products and develop clean energy technology. Due to this issue, sustainability can be provided in the economic development of emerging economies. Full article

This research investigates the impact of oil price, income and carbon dioxide emissions on renewable energy consumption in Russia for the data period from 1990 to 2015, using the Vector Error Correction Models and the Canonical Cointegrating Regression method. This article is the only study conducting individual time-series analysis that emphasizes the effect of oil price on renewable energy consumption in the case of Russia. The results of empirical analysis conclude that oil price affects renewable energy consumption negatively. The negative oil price effects on renewable energy use can be interpreted as a sign of issue that stems from higher oil prices and slows the transition from conventional to renewable energy sources. Additionally, we found that there is a positive and statistically significant influence of real GDP per capita as a proxy of income on renewable energy consumption, whereas the carbon dioxide emissions have a negative and statistically insignificant influence on renewable energy consumption. Considering these empirical results, Russia, which has a significant share in energy production in the world, should focus on the use of renewable energy in order to maintain this superiority and its sustainability. The findings of this paper may be useful to policymakers and may help to contribute to existing literature for future research in the case of oil-exporting countries. Full article

This study investigates the influence of oil price shocks on GDP per capita, exchange rate, and total trade turnover in Azerbaijan using the Structural Vector Autoregressive (SVAR) method to data collected from 1992 to 2019. The estimation results of the SVAR method conclude that oil price shocks (rise in oil prices) affect GDP per capita and total trade turnover positively, whereas its influence on the exchange rate is negative in the case of Azerbaijan. According to results of this study, Azerbaijan and similar oil-exporting countries should reduce the dependence of GDP per capita, the exchange rate, and total trade turnover from oil resources and its prices in the global market. Therefore, these countries should attempt to the diversification of GDP per capita, the exchange rate, and other sources of total trade turnover. Full article

This study investigates the income and price elasticities of gasoline demand for a fuel subsidizing country case, applying three different time-varying coefficient approaches to the data spanning the period from January 2002 to June 2018. The empirical estimations concluded a cointegration relationship between gasoline demand, income, and gasoline price. The income elasticity found ranges from 0.10 to 0.29, while the price elasticity remains constant over time, being −0.15. Income elasticity increases over time, slightly decreasing close to the end of the period, which is specific for a developing country. In the short run, gasoline demand does not respond to the changes in income and price. The policy implications are discussed based on the findings of the study. Research results show that since the income elasticity of demand is not constant, the use of constant elasticities obtained in previous studies might be misleading for policymaking purposes. An increase in income elasticity might be the cause of the inefficiency of the existing vehicles. The small price elasticity allows to say that if policy makers plan to reduce gasoline consumption then increasing its price would not substantially reduce the consumption. The current situation can be utilized to increase energy efficiency and implement eco-friendly technologies. For this purpose, the quality of existing transport modes can be improved. Meanwhile, to meet households’ needs, policies such as providing soft auto loans need to be formed to balance the recent drop in car sales. Full article

This article analyzed the relationship between financial development, renewable energy consumption, economic growth, and energy prices in Azerbaijan by employing time series data for the time span of 1993–2015. The autoregressive distributed lagged (ARDL) technique was applied in empirical estimations, because it performs better than all the alternative techniques in small samples, which was the case here in this article. The results of estimation found that there is a positive and statistically significant influence of financial development and economic growth on renewable energy consumption, whereas the prices of energy proxied by CPI have an adverse impact on renewable energy consumption in Azerbaijan. Also, estimation results demonstrated that a 1% rise in financial development, proxied by domestic credit as a percentage of GDP, and economic growth increase renewable energy consumption by 0.16% and 0.60%, respectively. The different financial development impacts on renewable energy consumption and related policy implications were also introduced. Full article

The study analyzes the impact of economic growth, carbon dioxide (CO₂) emissions, and oil price on renewable energy consumption in Azerbaijan for the data spanning from 1992 to 2015, utilizing structural time series modeling approach. Estimation results reveal that there is a long-run positive and statistically significant effect of economic growth on renewable energy consumption and a negative impact of oil price in the case of Azerbaijan, for the studied period. The negative impact of oil price on renewable energy consumption can be seen as an indication of comfort brought by the environment of higher oil prices, which delays the transition from conventional energy sources to renewable energy consumption for the studied country case. Also, we find that the effect of CO₂ on renewable energy consumption is negative but statistically insignificant. The results of this article might be beneficial for policymakers and support the current literature for further research for oil-rich developing countries. Full article

The current paper investigates the gasoline demand relationship in the case of Turkey, utilizing different econometric techniques and using quarterly data spanning from 2000Q1 to 2019Q1. The estimation results revealed that income and gasoline price are the main drivers of consumption. The found long-run income, price and auto stock elasticities are 0.25, −0.27 and −0.80, respectively. In addition, it is concluded that in the short-run, gasoline demand does not respond to changes in income, price and car stock. The estimation results also showed that the contribution of commercial and public car stock on gasoline demand is higher than that for private auto stock. Based on the finding of the study it is concluded that to achieve the optimal use of gasoline in line with providing high quality transport services, firstly, policies before the 2012 period can be followed. Secondly, channels such as pricing mechanism and taxation policies can be used in this framework. Full article

The purpose of this paper is to identify the determinants of bank profitability in 13 post-Soviet countries. Within this scope, annual data between 1996 and 2016 is analyzed by using fixed effects panel regression and the Generalized Method of Moments (GMM). It is concluded that loan amount, non-interest income and economic growth are significant indicators of profitability. Moreover, the 2008 global mortgage crisis has a negative influence on bank profitability in post-Soviet countries. According to the estimation results, there is a positive relationship between non-interest income and economic growth with profitability. This result shows that when non-interest income of the banks increases, such as credit card fees and commission, it affects the financial performance of the banks, positively, and contributes to bank profitability. Another result of this study is that economic growth positively influences bank profitability. This result allows us to conclude that higher GDP comes with higher bank profitability for post-Soviet countries. Lastly, there is a negative relationship between loan-to-GDP ratio and profitability of the banks in post-Soviet countries. This means that when the ratio of total loans to GDP increases, it affects financial performance of the banks in a negative way. While considering this result, it is recommended that banks in post-Soviet countries should focus on ways to increase their non-interest income. Additionally, it is also significant for these banks to be careful and risk averse when lending to their customers. Full article

This paper examines the relationship between energy consumption, financial development, and economic growth in an oil-rich economy—Azerbaijan—employing cointegration techniques to the data ranging from 1992 to 2015. The results confirm the existence of a long-run relationship among the variables. Also, we find that there is a positive and statistically significant impact of financial development and economic growth on energy consumption in the long-run. The positive and statistically significant coefficient of financial development and decreasing volatility in the proxy for financial development over time can be considered as improvements in the financial system. Estimation results show that a 1% increase in financial development, proxied by the private credit indicator, and economic development increases energy consumption by 0.19% and 0.12%, respectively. The positive and significant impact of financial development on energy consumption on the backdrop of relatively cheaper energy prices due to rich oil and gas resources, should be considered by policymakers in their energy use, financial development, and economic growth related decisions. Full article

International migration significantly affects economic, social, cultural, and political factors of the country. Owing to this situation, it can be said that the reasons of international migration should be analyzed in order to control this problem. The purpose of this study is to determine the influencing factors of international migration in Azerbaijan. In this scope, annual data of 11 explanatory variables for the period of 1995–2015 was analyzed via Multivariate Adaptive Regression Splines (MARS) method. According to the results of this analysis, it was identified that people prefer to move other countries in case of high unemployment rates. In addition, the results of the study show that population growth and high mortality rate increases the migration level. While considering these results, it was recommended that Azerbaijan should focus on these aspects to control international migration problem. Full article