Program and Development Research

Program and Development Research

The Impact of Renewable Energy on Economic Resilience (MMQR Method)

Document Type : Original Article

Authors
1 PhD student in Economics, Department of Economics, Faculty of Economics and Management, Urmia University, Urmia, Iran.
2 Urmia university
3 Associate Professor of Economics, Department of Economics, Faculty of Economics and Management, Urmia University, Urmia, Iran.
Abstract
Economic resilience, defined as an economy’s ability to withstand external shocks and return to equilibrium, is a key prerequisite for achieving sustainable development. This study aims to examine the impact of increasing the share of renewable energy in the energy consumption mix on the level of economic resilience in developing countries. To this end, panel data from 119 developing countries over the period 2002–2021 were utilized, and the effects were estimated using the Method of Moments Quantile Regression (MMQR) approach. The empirical findings indicate that renewable energy consumption exerts a positive and significant effect on economic resilience across all resilience levels; however, the magnitude of this effect is stronger in countries with higher resilience. Moreover, the results reveal that information and communication technology (ICT) development and financial expansion play a more critical role in enhancing resilience among less resilient countries, whereas trade openness primarily reinforces resilience in more resilient economies. Accordingly, it is recommended that policymakers in developing countries focus simultaneously on promoting renewable energy adoption, advancing digital infrastructure, and strengthening institutional and financial capacities to foster long-term economic resilience.
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Articles in Press, Accepted Manuscript
Available Online from 18 May 2026