Consumption and Green GDP in Europe

and green GDP as increased energy consumption
increase in GDP. In order to evaluate how and to what extent the
increase in energy consumption affects the size and movement of
the green GDP, the aim of this paper is to confirm
strong link between energy consumption and green GDP.
large number of papers linking energy consumption and GDP,
through this paper, we want to emphasize an even greater role of
green GDP in energy consumption by linking
consumption of different energy sources with
green GDP. Namely, how much different energy sources affect the
gap between green GDP and GDP. Within the empirical
we use a panel cointegration technique to examine long
relationships among integrated variables. The data
model cover 36 countries for the period from 2008 to 2016. These
36 countries include the EU28 countries and potential candidates for
accession in the European Union. The results of our analysis
the theory as we found that an increase in energy consumption
causes an increase in GDP, hence the green GDP. However, the
second part of the analysis suggests that an increase in consumption
of energy in sectors that are environmentally more damaging
emphasize the gap between the GDP and green GDP, but that an
increase in more environmentally cleaner energy consumption
curtails that gap.