Threshold Effect of Economic Growth on Energy Intensity—Evidence from 21 Developed Countries

Based on threshold regression models, this paper analyzes the effect of economic growth energy intensity by using panel data from 21 developed countries 1996 to 2015. Results show that a 1% increase in GDP per capita can lead 0.62–0.78% reduction intensity, implying significantly reduce intensity. The extent varies depending development stages represented key influencing factors including mix consumption, urbanization, industrial structure, and technological progress. Specifically, due be enhanced with relatively more renewable consumption urban population until point, where enhancement disappears. On other hand, weakened tertiary industry activities research (R&D) investment an economy weakening cannot continue. However, compared early low ends population, activities, R&D investment, later high these after decline Hence, when is well-developed, policy makers are advised put fewer expectations role while pursuing cleaner energy, greater advanced technologies.