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Competitio

Vol. 24 No. 1-2 (2025)
Papers

Fossil energy and economic growth in coal-based economies: empirical modeling and sustainability challenges

Published:
2025-11-13
DOI Linkhttps://doi.org/10.21845/comp/2025/1-2/7
Authors
Botond Géza Kálmán,
Szilvia Módosné Szalai,
Helga Sárközy
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Keywords
fossil energy economic growth energy intensity energy efficiency sustainability
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Copyright (c) 2025 Botond Géza Kálmán, Szilvia Módosné Szalai, Helga Sárközy

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This work is licensed under a Creative Commons Attribution 4.0 International License.

How To Cite
Selected Style: APA
Kálmán, B. G., Módosné Szalai, S., & Sárközy, H. (2025). Fossil energy and economic growth in coal-based economies: empirical modeling and sustainability challenges. Competitio, 24(1-2), 126-145. https://doi.org/10.21845/comp/2025/1-2/7
Received 2025-07-23
Accepted 2025-09-08
Published 2025-11-13
Abstract

The study examines the relationship between fossil energy consumption and economic growth in carbon-based economies, with a particular focus on the role of energy intensity and energy efficiency. We aim to quantify the impact of fossil energy consumption on economic growth through model-based analysis and identify the development and sustainability challenges of energy-intensive economies. The study used a Random Forest model to analyze the relationship between fossil energy consumption and GDP growth. The data are from the World Bank’s World Development Indicators database for the period 2013–2023, considering the economic structure of different countries. Energy intensity showed a strong positive correlation with GDP growth in China, Russia and Mongolia, while in more developed economies such as Canada and the United States, a lower or negative relationship is observed. Fossil energy-intensive economies benefit in the short term, but diversification is needed in the long term for sustainability. Diversifying the economy and increasing energy efficiency are key to sustainable development. The results can help policymakers plan the energy transition, especially focusing on reducing fossil fuel dependence and integrating renewable energy sources for economic and environmental stability.

JEL codes: O13, Q43, Q56, C53, O44

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