Asymmetric impact of green bonds on energy efficiency: Fresh evidence from quantile estimation. (February 2023) - Chang, Lei
Abstract: This article examines the asymmetric green bonds-energy efficiency nexus in the top ten green bond issuer countries. Quantile-on-Quantile approach is applied, which permits the exploration of the time-series interdependence in each economy individually to give worldwide yet nation-specific details about the association between the variables. The estimates show that green bond financing boosts energy efficiency in our selected nations at various quantiles of data distribution. Furthermore, the findings show that the levels of asymmetries between the variables vary by nation, emphasizing the significance of governments paying particular consideration when enacting green financing and energy efficiency measures. Highlights: The study analyzes the asymmetric green bonds-energy efficiency nexus. A novel methodology, 'Quantile-on-Quantile (QQ)', is used. The data for top-10 green bond issuer countries is used. It is found that green bonds improve energy efficiency.