Omay, Tolga and Hasanov, Mubariz and Ucar, Nuri (2012): Energy consumption and economic growth: evidence from nonlinear panel cointegration and causality tests.

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Abstract
In this paper, we propose a nonlinear cointegration test for heterogeneous panels where the alternative hypothesis is an exponential smooth transition (ESTAR) model. We apply our tests for investigating cointegration relationship between energy consumption and economic growth for the G7 countries covering the period 19772007. Moreover, we estimate a nonlinear Panel Vector Error Correction Model in order to analyze the direction of the causality between energy consumption and economic growth. By using nonlinear causality tests we analyze the causality relationships in low economic growth and high economic growth regimes. Furthermore, we deal with the cross section dependency problem in both nonlinear panel cointegration test and nonlinear Panel Vector Error Correction Model.
Item Type:  MPRA Paper 

Original Title:  Energy consumption and economic growth: evidence from nonlinear panel cointegration and causality tests 
English Title:  Energy Consumption and Economic Growth: Evidence from Nonlinear Panel Cointegration and Causality Tests 
Language:  English 
Keywords:  Nonlinear panel cointegration, nonlinear Panel Vector Error Correction Model, cross section dependency 
Subjects:  C  Mathematical and Quantitative Methods > C1  Econometric and Statistical Methods and Methodology: General > C13  Estimation: General C  Mathematical and Quantitative Methods > C2  Single Equation Models ; Single Variables > C23  Panel Data Models ; Spatiotemporal Models C  Mathematical and Quantitative Methods > C3  Multiple or Simultaneous Equation Models ; Multiple Variables > C33  Panel Data Models ; Spatiotemporal Models 
Item ID:  37653 
Depositing User:  Tolga Omay 
Date Deposited:  26 Mar 2012 14:15 
Last Modified:  27 Sep 2019 06:58 
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URI:  https://mpra.ub.unimuenchen.de/id/eprint/37653 