The relationship between CO₂ emissions, renewable energy and economic growth in the US: evidence from symmetric and asymmetric spectral granger causality analysis

This study analyzes the relationship between renewable energy consumption, CO₂ emissions, and economic growth for 1973:M01-2022:M06 in the USA. The study employs Spectral Granger Causality analysis symmetrically and asymmetrically. The symmetric causality test presents a bidirectional causality relationship between CO₂ emissions, renewable energy consumption, and economic growth. Regarding asymmetric causality results, there is bidirectional causality between positive and negative shocks of CO₂ emissions, renewable energy consumption, and economic growth. The results suggest that renewable energy consumption is essential in increasing sustainable economic growth and environmental quality for the USA.