Green energy vs. fossil fuels: their impact on agricultural productivity in the renewable energy pioneers
摘要
This research investigates the impact of non-renewable and renewable energy consumption on agricultural productivity in 11 countries leading in renewable energy adoption, utilizing yearly data from 1990 to 2023. Following Sustainable Intensification (SI) Theory, the study employs panel econometric models, the Pooled Mean Group (PMG) Autoregressive Distributed Lag (ARDL), Dynamic Ordinary Least Squares (DOLS), and Fully Modified Ordinary Least Squares (FMOLS). The empirical evidence shows that renewable energy usage raises agricultural productivity by 18.7% and reduces productivity by 4.4% when non-renewable energy is used. Land availability and fertilizer consumption positively affect productivity by 56.5% and 44%, respectively, while water availability negatively affects productivity, lowering it by 22.9%. The robustness tests confirm the correlations with the land and fertilizer effects, ranging from 68.2 to 89.8% and 45.1–57.3%, respectively. Dumitrescu-Hurlin causality test identifies strong bidirectional connections, particularly between renewable energy and land use.