Causal relationship between crude oil price, energy consumption and carbon dioxide (CO2) emissions in Ecuador

2017 ◽  
Vol 41 (3) ◽  
pp. 201-225 ◽  
Author(s):  
Chinazaekpere Nwani
Keyword(s):  
Carbon Dioxide ◽  
Energy Consumption ◽  
Crude Oil ◽  
Causal Relationship ◽  
Co2 Emissions ◽  
Oil Price ◽  
Crude Oil Price ◽  
Carbon Dioxide Co2

scholarly journals Oil price, energy consumption and carbon dioxide (CO2) emissions: insight into sustainability challenges in Venezuela

2019 ◽  
Vol 28 (1) ◽  
Author(s):  
Tobechi F. Agbanike ◽  
Chinazaekpere Nwani ◽  
Uwazie I. Uwazie ◽  
Lasbrey I. Anochiwa ◽  
Thank-God C. Onoja ◽  
...  
Keyword(s):  
Economic Growth ◽  
Carbon Dioxide ◽  
Energy Consumption ◽  
Oil Price ◽  
Consumption Expenditure ◽  
Crude Oil Price ◽  
Negative Effects ◽  
Government Consumption ◽  
Sustainability Challenges ◽  
Insight Into

Abstract This study provides insight into sustainability challenges in Venezuela by exploring the causal interactions between oil price, energy consumption and carbon dioxide (CO2) emissions in Venezuela. Economic growth, government consumption expenditure and trade openness are included as additional determinants in the analysis. The auto-regressive distributed lag (ARDL) bounds approach to cointegration provides evidence of long-run relationship between the variables with the incorporation of structural breaks observed in the series. The estimates suggest that an increase in crude oil price significantly increases energy consumption, government consumption expenditure and energy consumption generate CO2 emissions, and CO2 emissions exert negative effects on economic growth in the oil-rich economy. This study further examined the direction of causality between the variables using the innovative accounting approach (IAA). The results suggest that crude oil price causes energy consumption in the economy. No significant causal relationship is found between energy consumption and economic growth. Energy consumption causes CO2 emissions in the economy. In addition, a unidirectional causality runs from CO2 emissions to economic growth. The response of economic growth to CO2 emissions indicates that more CO2 emissions in the economy would exert negative effects on economic growth. It is, therefore, expected that policy makers would consider energy diversification as a major component of economic diversification policies in Venezuela.

Time-varying dependence measures: a comparative analysis through wavelet approach

2017 ◽  
Vol 11 (2) ◽  
pp. 350-364 ◽  
Author(s):  
Anyssa Trimech
Keyword(s):  
Energy Consumption ◽  
Crude Oil ◽  
Oil Price ◽  
Consumption Pattern ◽  
Time Varying ◽  
Crude Oil Price ◽  
Data Set ◽  
Content Type ◽  
Single Scale ◽  
Measure Of Dependence

Purpose This paper aims to investigate the pattern of dependence between crude oil price and energy consumption of the most important economic sectors in the USA, over different time periods, using monthly data set from January 1986 to July 2014 and a comparative study between linear correlation versus copula correlation as a measure of dependence over the single scale and the multiscale analysis. Design/methodology/approach The proposed method is based on the multiresolution analysis which gives more extensive and detailed description of the dependence price-consumption pattern over different periods of time. Findings The empirical results show that the dependence between variables is strongly sensitive to the time varying and generally increasing with time scale. In particular, the Pearson coefficients are less than the dependence copula measures. The single-scale analysis covers many time-varying dependences which are made clear, flexible and comprehensive by the description given by the multiscale approach. It explains better the structure of relationships between variables and helps understand the variations and improve forecasts of the crude oil price and energy consumption over different time scales. Originality/value The proposed methodology offers the opportunity to construct dynamic management strategies by taking into account the multiscale nature of crude oil price and consumption relationship. Moreover, the paper uses wavelets as a relatively new and powerful tool for statistical analysis in addition to the copula technique that allows a new understanding of variable correlation. The paper will be of interest not only for academics in the field of data dependencies analysis but also for fund managers and market investors.

scholarly journals The Impact of Selected Macroeconomic Variables on Carbon Dioxide (Co2) Emission in Malaysia

2018 ◽  
Vol 7 (4.15) ◽  
pp. 204
Author(s):  
Norimah Rambeli@Ramli ◽  
Norasibah Abdul Jalil ◽  
Emilda Hashim ◽  
Maryam Mahdinezhad ◽  
Asmawi Hashim ◽  
...  
Keyword(s):  
Carbon Dioxide ◽  
Energy Consumption ◽  
Gross Domestic Product ◽  
Co2 Emission ◽  
Oil Price ◽  
Domestic Product ◽  
Series Data ◽  
Carbon Dioxide Co2 ◽  
The Impact ◽  
Statistical Criteria

This study tries to investigate the relationship between gross domestic product, electricity product, net trade, electricity consumption and oil price on carbon dioxide (Co2) emission in Malaysia. Thus, it uses the Ordinary Least Square (OLS) method in structuring the model estimation. By utilizing yearly time series data from 1980 to 2017, this study focuses on economics and statistical criteria analyses. According to sign analysis, the results suggest that, gross domestic product, electricity product, net trade and energy consumption affect carbon dioxides (Co2) positively. In contrast, the oil price affects carbon dioxides (Co2) negatively. Furthermore, the results in statistical criteria conclude that the gross domestic product, electricity product and energy consumption are the dominant factors that influence carbon dioxides combustion in the long run in Malaysia.  

scholarly journals Effects of International Crude Oil Prices on Energy Consumption in China

Energies ◽  
2020 ◽  
Vol 13 (15) ◽  
pp. 3891 ◽  
Author(s):  
Gaolu Zou ◽  
Kwong Wing Chau
Keyword(s):  
Energy Consumption ◽  
Crude Oil ◽  
Price Elasticity ◽  
Oil Prices ◽  
Oil Price ◽  
Crude Oil Price ◽  
The Real ◽  
Crude Oil Prices ◽  
Long Run ◽  
Oil Demand

This study aims to test the effects of changes in international crude oil prices on changes in crude oil and hydropower use from 1965 to 2016. We suggest a cointegration relationship between the consumption of coal, crude oil, and hydropower and the real crude oil price. The real price is weakly exogenous for the long-run relationship and has impacted energy consumption accordingly. The long-run crude oil price elasticity of oil use is 0.460. Our estimate suggests a positive oil price–oil use relationship in China, which is dramatically different from many previous studies but is consistent with a few past studies. The growth in external oil prices may lead to a long-run increase in hydropower use in China, with a long-run price elasticity of 0.242. The long-run crude oil price elasticity of coal use is −0.930. Hence, increased oil and hydropower use could make up the energy supply–demand gap left over by the decreased coal use. Strictly planned domestic fuel prices and rapidly growing family incomes should diminish the negative effect of external oil prices on domestic crude oil demand. In the long run, given a strictly managed energy price, the growth in external oil prices is not likely to noticeably restrain the domestic oil demand or lead to a dramatic increase in coal use. We suggest that the large-scale development and utilization of hydropower may be inappropriate. Coal utilization policies must be reviewed. The appropriate increase in clean coal consumption could reduce the consumption of crude oil and hydropower; meanwhile, carbon emissions will not increase.

Impact of crude oil price on the socio-political environment of global countries

2019 ◽  
Vol 118 (3) ◽  
pp. 110-122
Author(s):  
Johnson Clement Madathil ◽  
Velmurugan P. S
Keyword(s):  
Crude Oil ◽  
Descriptive Analysis ◽  
Oil Price ◽  
Policy Framework ◽  
Political Environment ◽  
Policy Reforms ◽  
Crude Oil Price ◽  
Short Term ◽  
Political Impact ◽  
New Energy

Crude oil is known to have an impact on people’s life of both producers and consumers of crude oil countries. A producer country’s socio-political impact will be different from a consumer country’s socio-political impact. This paper aims to show that crude oil price has a socio-political impact on global countries through descriptive analysis. The study found that there were similarities in the movement of crude oil price and change in GDP of both India and United States and further Russia and Venezuela have had crude oil impact on their respective GDP’s, which has made them take policy reforms. The paper identifies changes in the policy framework due to influence of crude oil price and eventual changes in existing socio-political environment. Taking oil producing countries such as Russia and Venezuela as examples, this paper suggests that policy reforms are the key to having a stable socio-political environment. Russia shows us that having a flexible monetary policy can keep the budget dependence on crude oil reduced in the short term. On the other hand, for oil consuming countries, having a stable supply and moving to new energy sources is the key to tackle the influence of crude oil price on the socio-political environment of global countries.

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