In view of the environmental challenges the world is currently facing, the objective of this research was to examine the short- and long-term effect of renewable energies on CO2 emissions. In addition, to deepen the analysis, the Environmental Kuznet Curve (EKC) hypothesis, and the effects of urban population density and trade openness on CO2 emissions in 30 high-income countries in the period 2000-2020 were evaluated. A cross-sectional autoregressive distributed lags model (CS-ARDL) and the Augmented Mean Group (AMG) model were estimated for robustness checks. The findings reveal that renewable energy consumption reduces CO2 emissions in both the short and long term. Furthermore, there is strong evidence to support the EKC hypothesis. Finally, openness to trade was found to increase CO2 emissions, while the relationship between urban density and CO2 emissions is statistically non-significant. This information is expected to be crucial for the generation of public policies framed in sustainable development.

Energy poverty represents a critical challenge in Latin America today, given the social disparities the region faces. In this context, this study focuses on exploring the effects of remittances on the energy poverty of 13 Latin American countries during the period 2000–2020. Panel estimations with fixed and random effects, along with the generalized method of moments, are employed to address potential endogeneity issues. The results suggest that remittances play a significant role in mitigating energy poverty in the Latin American region, particularly in rural areas. Furthermore, it is observed that economic growth and financial development act as mediators, allowing remittances to indirectly contribute to mitigating energy poverty. Although inequality was examined as a potential mediator, the findings suggest that it does not play a significant role in this context. It is concluded that remittances are an appropriate mechanism to improve the quality of life of the population, and their impact is strengthened in a more robust economic environment.

The literature has mainly focused on analyzing the relationship of remittances with economic growth and social welfare, neglecting more complex aspects where remittances can have relevant implications. To contribute to the literature, the objective of this research is to examine the dynamic relationship between remittances, capital formation, structural transformation and economic growth in 15 Latin American countries during the period 1996–2019. To meet the objective, a panel vector autoregressive regression (PVAR) model was estimated, focusing on the analysis of the impulse-response function and variance decomposition. The results show a positive effect of remittances on economic growth and capital formation and a negative effect of remittances on structural transformation for initial periods and positive for later periods, framing a non-linear relationship. In addition, it was determined that structural transformation does not have a significant impact on economic growth. Finally, it was found that capital formation has a partial positive effect on economic growth. It is concluded that public policies should generate support mechanisms for the efficient channeling of these resources so that they become engines of growth.

Achieving sustainable models is a crucial challenge today, where government actions play a fundamental role. Therefore, this study aims to analyze the impact of fiscal decentralization on CO₂ emissions in 40 economies between 2000 and 2020. To this end, an unbalanced panel was constructed, and the Method of Moments Quantile Regression (MMQR) was employed. As a robustness check, Driscoll and Kraay’s standard errors approach was used. The MMQR results indicate that fiscal decentralization has a positive and significant effect across all quantiles of CO₂ emissions. Additionally, it was found that revenue-side decentralization has a greater impact on the lower quantiles of CO₂ emissions, while expenditure-side decentralization has a stronger effect on the upper quantiles. The findings also reveal that renewable energy mitigates CO₂ emissions, whereas economic growth, resource rents, and information and communication technologies increase them, although the latter with lower statistical significance. These findings are expected to serve as a basis for public policy formulation aimed at improving environmental quality.

Purpose: This study aims to investigate the linear and threshold effects of external debt on economic growth in eleven Latin American countries between 1990 and 2023. Design/methodology/approach: The generalized method of moments (GMM) is used to estimate the linear effect, given its efficiency in addressing endogeneity, serial autocorrelation and heterogeneity. Threshold regression for panel data (TRP) is also used to examine potential nonlinear relationships. Findings: The results yielded three main findings. First, external debt has a significant and negative impact on economic growth. Second, no statistically significant external debt-to-gross domestic product (GDP) threshold was identified, demonstrating that the negative effect of debt persists regardless of its level. Third, an investment threshold was determined that mitigates this negative effect; when gross fixed capital formation exceeds 19.73% of GDP, the adverse impact of debt ceases to be significant, suggesting that investment acts as a debt-absorbing mechanism. Originality/value: The research combines complementary econometric approaches to analyze in depth the effects of external debt in a relatively unexplored region like Latin America. Furthermore, it incorporates robustness tests that divide the sample according to the identified investment threshold, providing key empirical evidence for the design of public policies aimed at improving the channeling and efficiency of public borrowing.

Purpose: The objective of this study is to analyze the long-term impact of globalization on Ecuador’s economic development during the period from 1990 to2021. Design/methodology/approach: The techniques of fully modified least squares (FMOLS), dynamic ordinary least squares (DOLS) and canonical cointegration regression (CCR) were used to assess how globalization, measured by the Konjunkturforschungsstelle (KOF) index, influenced Ecuador’s Human Development Index (HDI). Key control variables such as financial development, health expenditure, gross fixed capital formation, renewable energy and the impact of COVID-19 were included. Findings: The results show that globalization has had a positive and significant impact on economic development, aligning with the neoclassical growth theory. Additional findings indicate that financial development, health expenditure and capital formation positively contribute to economic development, whereas renewable energy exhibits non-significant effects and COVID-19 has a negative impact. Originality/value: This study contributes to the existing literature by providing updated empirical evidence in the context of a developing country and offers recommendations for future research on the differentiated effects of globalization.