LAUSR

The present study investigates the dynamic relationships between non-renewable energy production from fossil resources, healthcare expenditures, and carbon dioxide (CO2) emissions in the OECD region. This study has used the balanced panel of 38 OECD countries spanning from 2008 to 2018. This study is employing panel vector auto-regression econometric approach based on generalized method of moment. The study reveals the following interesting outcomes: The response of energy production from fossil resources to healthcare expenditures is positive; energy production has a positive unidirectional causal relationship with CO2 emissions, whereas CO2 emissions have insignificant relation with energy production. There is a positive bidirectional relationship between healthcare spending and CO2 emissions, but there is no evidence that healthcare spending causes energy production. Furthermore, the outcomes present the essential policy consequences.