Sinha, Dipendra (2009): The energy consumption-GDP nexus: Panel data evidence from 88 countries.
Download (233kB) | Preview
This paper uses panel data from 88 countries to examine the relationship between per capita GDP and per capita energy consumption. The results show that per capita GDP and per capita energy consumption are cointegrated. Also, there is a two-way short-run, long-run and strong causality between the growth of GDP and growth of energy consumption. These results are in contrast to almost all other existing studies.
|Item Type:||MPRA Paper|
|Original Title:||The energy consumption-GDP nexus: Panel data evidence from 88 countries|
|Keywords:||panel data; energy consumption; economic growth|
|Subjects:||O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O10 - General
C - Mathematical and Quantitative Methods > C2 - Single Equation Models ; Single Variables > C23 - Panel Data Models ; Spatio-temporal Models
|Depositing User:||Dipendra Sinha|
|Date Deposited:||08. Nov 2009 06:34|
|Last Modified:||14. Feb 2013 02:03|
Abosedra, S. and Baghestani, H. (1991), “New Evidence on the Causal Relationship United States Energy Consumption and Gross National Product,” Journal of Energy and Development, vol. 14, pp. 285-292.
Akarca, A.T. and Long II, T.V. (1980), “On the Relationship between Energy and GNP: A reexamination,” Journal of Energy and Development, vol.5, pp. 326-331.
Al-Iriani, M.A. (2006), “Energy-GDP Relationship Revisited: An Example from GCC Countries using Panel Causality,” vol. 34, pp. 3342-3350.
Holz-Eakin, D., Newey, W. and Rosen, H. (1988), “Estimating Vector Autoregressions with Panel Data,” Econometrica, vol. 56, pp. 1731-1395.
Im, K. S., Pesaran, M. H., and Y. Shin (2003), “Testing for Unit Roots in Heterogeneous Panels,” Journal of Econometrics, vol. 115, pp. 53–74.
Kraft, J. and A. Kraft (1978), “On the Relationship between Energy and GNP,” Journal of Energy and Development, vol. 3, pp. 401-403.
Lee, C-C (2005), “Energy consumption and GDP in developing countries: A cointegrated panel analysis,” Energy Economics, vol. 27, pp. 415-427.
Masih, M. M and R. Masih (1997), “On the Temporal Causal Relationship between Energy Consumption, Real Income and Prices: Some New Evidence from Asian-energy Dependent NICs based on Multivariate Cointegration/Vector Error Correction Approach,” Journal of Policy Modeling, vol. 19, pp. 417-440.
Levin, A., Lin, C. F., and C. Chu (2002), “Unit Root Tests in Panel Data: Asymptotic and Finite-Sample Properties,” Journal of Econometrics, vol. 108, pp. 1–24.
Maddala, G. S. and S. Wu (1999), “A Comparative Study of Unit Root Tests with Panel Data and A New Simple Test,” Oxford Bulletin of Economics and Statistics, vol. 61, pp. 631–52.
Mahadevan, R. and Asafu-Adjaye, J. (2007), “Energy consumption, economic growth and prices: A reassessment using panel VECM for developed and developing countries,” Energy Policy, vol. 35, pp. 2481-2490.
Pedroni, P. (1999) “Critical Values for Cointegration Tests for Heterogeneous Panel with Multiple Regressors” Oxford Bulletin of Economics and Statistics, vol. 61, pp. 653-70.
Pedroni, P (2004) “Panel Cointegration: Asymptotic and Finite Sample Properties of Pooled Time Series Tests with an Application to the PPP Hypothesis” Econometric Theory, vol. 3, pp. 579-25.
Soytas, U. and Sari, R. (2003), “Energy Consumption and GDP: Causality Relationship in G-7 Countries and Emerging Markets,” Energy Economics, vol. 25, pp. 33-37.