This paper utilizes social network analysis to examine the structural characteristics and trade dynamics of the renewable energy (hydropower, wind energy, and solar energy) trade network within the RCEP region from 2011 to 2020. The findings reveal: (1) The renewable energy trade network within the RCEP exhibits dynamism, heterogeneity, and an uneven development. The solar energy network is the most balanced and stable, while the wind energy network lags and shows marked fluctuations, with the hydropower network falling between these two. This demonstrates the diversity of energy trade within the region. (2) China, Singapore, and Japan are identified as the key exporting and importing countries, with Vietnam showing substantial growth potential. Individual analyses shed light on the stark disparities in trade status among nations, reflecting the diverse roles and future potential of member countries. (3) The QAP regression analysis reveals a significant influence of environmental pressure, particularly carbon dioxide emissions, on the renewable energy trade network. This study contributes to promoting environmental sustainability and energy security in the RCEP region and provides empirical evidence for global renewable energy trade strategies.

JEL Classification: F18, Q42

This paper analyses carbon emissions and value-added embodied in trade between two large developed countries, South Korea and the United States, during 2000-2014. Using multi-regional input-output (MRIO) tables, our analysis reveals that carbon emissions and value-added embodied in exports grew by 19% and 101% for South Korea but shrank by 43% and 7% for the United States. As a result, South Korea experienced a 40% increase in net carbon exports and 243% increase in net value-added exports. At the industry level, the primary drivers of changes in carbon exports were electricity and basic materials. The majority of industries in witnessed improvements in carbon intensities suggesting improved environmental efficiency. While both countries achieved a decoupling of carbon emissions from value-added exports, substantial year-to-year and sectoral variations were observed. Finally, structural decomposition analysis indicates that domestic supply-side factors played a role in decreasing emissions whereas foreign demand-side factors contributed to emissions increases. In line with the main findings, various implications for policy and future research are discussed.

JEL Classification: C67, F14, F18

The Covid-19 pandemic has caused unprecedented disruptions across industries worldwide. This paper aims to analyze the economic impact of the pandemic on the sales performance of basic commercial areas in Seoul, Korea. Using a regression analysis with credit card transaction data, the study underscores the critical nature of determining the reference point for comparison. Firstly, in comparison to the revenue in the same quarter before the onset of the pandemic, a significant decrease in revenue was observed across most categories during the pandemic periods. Secondly, when compared to the counterfactual revenue in the same period, extrapolated by an exponential smoothing forecasting, the overall revenue decrease during the periods was less pronounced, except in a few categories. Interestingly, certain categories appeared to witness marginal increases in sales after the pandemic. The paper discusses some policy implications of these findings.

JEL Classification: D22, L81, E37

This study empirically investigates the international transmission of China’s uncertainty shocks. It estimates a time-varying parameter Bayesian global structural vector autoregressive model (TVP-BGVAR) using time series data for 33 countries to evaluate heterogeneous international linkage across countries and time. Uncertainty shocks are identified via sign restrictions. The empirical results reveal that an increase in uncertainty in China negatively affects the global economy, but those effects significantly vary over time. The effects of China’s uncertainty shocks on the global economy have been significantly altered by China’s WTO accession, the global financial crisis, and the recent US–China trade conflict. Furthermore, the effects of China’s uncertainty shocks, typically on inflation, differ significantly across countries. Moreover, Trade openness appears crucial in explaining heterogeneous GDP responses across countries, whereas the international dimension of monetary policy appears to be important in explaining heterogeneous inflation responses across countries.

JEL Classification: C32, E32, F41