Does Renewable Energy Really Create Jobs in OECD Countries?

Abstract

This paper analyzes the relationship between renewable energy supply and employment in OECD countries. While economists have begun to examine this relationship in OECD countries, using various methods, few studies have looked at the issue at a regional level or used an econometric methodology. Using panel data for most OECD countries from 1995 to 2010 with a fixed effects model, the study seeks to provide this additional perspective. Key findings include: i) renewable energy supply has a positive association with employment; ii) most of the jobs created are in the industrial sector; and iii) the association between renewable energy and employment is greater in new OECD member countries than in old OECD member countries.