International Congress on Eurasian Economies

International Conference on Eurasian Economies

20-22 September 2022 – Baku - AZERBAIJAN

Paper properties

Paper ID : 2680
Status : Paper published
Language : Turkish
Topic : Natural Resources and Environment
Presenter: Ph.D. candidate Burak Beder
Presentation Location : online
Session : 2B Büyüme

The Relationship of Renewable Energy with Foreign Trade Balance and The Economic Growth: An Analysis in the Context of Turkey and The European Union
Yenilenebilir Enerji ile Ekonomik Büyüme ve Dış Ticaret Dengesi Arasındaki İlişki: Türkiye-AB Ülkeleri Kapsamında Bir Analiz


Historically, most of the energy need is provided by carbon-intensive primary energy sources. Especially, since the 1970s, this circumstance has exposed two major issues. Firstly, primary energy sources are one of the most significant contributors to climate change since they significantly increase greenhouse gas emissions. Secondly, the fact that primary energy sources are non-renewable, and their limited reserves have recently caused unexpected price movements in energy prices. This situation creates conditions that cause crises, jeopardizes the security of energy supply, and threatens production and social living. In this context, the increased awareness of climate change and the energy shocks experienced put renewable energy sources instead of primary energy sources on the agenda. Renewable energy sources are particularly substantial for Turkey and the European Union (EU). Because Turkey and the EU meet most of their energy needs through imports. By being directly affected by rapid fluctuations in the pricing of energy resources, this circumstance can cause countries to experience issues such as foreign trade imbalance, energy supply security, inflation, and economic slowdown. In this scenario, it is crucial for Turkey and the EU to adopt renewable energy sources to continue economic growth. The purpose of this study is to determine the relationship between the installed renewable energy power capacity of electricity generation with foreign trade balance and the economic growth of Turkey and EU countries from 2000 to 2020. In this context, it is intended to conduct a Panel Granger Causality test using data gathered from the IRENA and World Bank databases.

JEL codes: Q27, Q43, Q56

Beder, Burak, Çıralı, Sunay (2022). "The Relationship of Renewable Energy with Foreign Trade Balance and The Economic Growth: An Analysis in the Context of Turkey and The European Union" in Proceedings of International Conference of Eurasian Economies 2022, pp.177-186, Baku - AZERBAIJAN.


Full paper in PDF format.

Session 2B: Büyüme

Eurasian Economists Association Azerbaijan State University of Economics Istanbul Beykent University Doğuş University Kyrgyz-Turkish Manas University