scholarly journals An Empirical Investigation of the Causal Relationship amongst Energy Consumption, Net Fixed Capital Stock and Economic Growth in India

2019 ◽  
Vol 6 (5) ◽  
pp. 5449-5454
Author(s):  
Mr. Abhijit Phukon ◽  
Ms. Mitali Konwar
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Causal Relationship ◽  
Time Series Data ◽  
Fixed Capital ◽  
Series Data ◽  
Net Energy ◽  
Gas Consumption ◽  
Natural Gas Consumption ◽  
Good Policy

Purpose- in this paper, an effort has been made to establish the causal relationship amongst energy consumption, net fixed capital stocks and economic growth measured in terms of Gross Domestic Product (GDP) in India. Further attempt has been made to fix the direction of causality by taking into account the disaggregated energy consumption such as petroleum, coal, electricity and gas consumption. Design/ methodology/ approach- the methodology is based on the Engle-Granger method of co-integration and Johanson-Juselius multivariate method and uses a time series data of disaggregated energy consumption, net fixed capital stocks and GDP over the period 1970-2002. Since no co-integration was found amongst the concerned variables, Standard Granger method is used to find out the causality between energy consumption and economic growth as well as energy consumption and net fixed capital stocks. Findings- the empirical results infer that there is bi-directional causality between energy consumption and economic growth and unidirectional causality running from energy consumption to net fixed capital stocks. The research concluded that since India is a net energy importer, especially petroleum, it has to pay a high oil import bill every year. Therefore, using oil more efficiently and/or substituting petroleum and gas by coal and electricity wherever possible could be a good policy measure. Perhaps, an energy conservation policy regarding petroleum and natural gas consumption would not lead to any adverse side effects on economic growth in India.

CAUSAL RELATIONSHIP OF ENERGY CONSUMPTION AND ECONOMIC GROWTH – A CASE STUDY OF PAKISTAN

2021 ◽  
Vol 9 (1) ◽  
pp. 139-164
Author(s):  
Saddam Hussain ◽  
Chunjiao Yu
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Energy Consumption ◽  
Causal Relationship ◽  
Inflation Rate ◽  
Time Series Data ◽  
Consumer Price Index ◽  
Series Data ◽  
Relationship Of

This paper explores the causal relationship between energy consumption and economic growth in Pakistan, applying techniques of co-integration and Hsiao’s version of Granger causality, using time series data over the period 1965-2019. Time series data of macroeconomic determi-nants – i.e. energy growth, Foreign Direct Investment (FDI) growth and population growth shows a positive correlation with economic growth while there is no correlation founded be-tween economic growth and inflation rate or Consumer Price Index (CPI). The general conclu-sion of empirical results is that economic growth causes energy consumption.

scholarly journals Causal Relationship Between Economic Growth and Energy Consumption in Jordan

2022 ◽  
Vol 1 (1) ◽  
pp. 102-112
Author(s):  
Ali Matar
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Causal Relationship ◽  
Agricultural Land ◽  
Time Series Data ◽  
Recent Decade ◽  
Series Data ◽  
Causality Test ◽  
Crisis Events ◽  
Per Capita

Due to the current situation of the Jordanian economy, this paper aims to evaluate the impacts of economic growth on energy consumption in a developing country like Jordan, a country with limited resources such as oil, agricultural land, and water. This study is very important since the energy bill reflects a notable share in the GDP for Jordan, especially in the recent decade that witnessed energy bills rising due to different political and financial crisis events. The study investigates the causal relationship between the per capita energy consumption and economic growth (proxied by real gross domestic product per capita in constant prices) over the 1975-2011 period. A Granger causality test is utilized on annual time series data. The results of the study confirm a neutral relationship between real GDP and energy consumption, indicating that per capita increase in economic growth may not cause any perpetual rise in energy consumption in Jordan.

Impact of Health and Agriculture Financing on Economic Growth in Nigeria

2021 ◽  
Vol 7 (18) ◽  
pp. 37-58
Author(s):  
Rasaki Olufemi KAREEM ◽  
◽  
Olawale LATEEF ◽  
Muideen Adejare ISIAKA ◽  
Kamilu RAHEEM ◽  
...  
Keyword(s):  
Economic Growth ◽  
Federal Government ◽  
Causal Relationship ◽  
Agricultural Sector ◽  
Time Series Data ◽  
Capital Expenditure ◽  
Government Expenditure ◽  
Health Sector ◽  
Series Data ◽  
The Impact

The study focused on the impact of health and agriculture financing on economic growth in Nigeria from 1981 to 2019. The study utilized the time series data which was extracted from Central Bank of Nigeria annual statistical bulletin. Unit Root test was performed with the use of Augmented Dickey-Fuller test in order to ascertain the stationarity of all the variables and they were all found to be stationary at order 1 in the two specified models (composite and disaggregated). Error Correction Model (ECM) was used to analyze the data in order to determine the speed of adjustment from the short run to the long run equilibrium state. Casualty test was used to confirm causal relationship among the variables of interests. The study revealed that Federal Government expenditure in Health sector has a significant effect on economic growth in Nigeria. Federal Government expenditure in Agricultural sector equally had a positive effect on economic growth but surprisingly not significant. Considering the disaggregated form, Federal Government capital expenditure in both Health and Agricultural sectors have positive and statistically significant effect on economic growth while Federal Government recurrent expenditure on health has a positive and statistically insignificant effect in economic. It was also revealed that there is causal relationship among the variables. Based on the findings, the study concluded that Federal Government Expenditure in Health Sectors and Agriculture Sectors have effect on economic growth in Nigeria.

scholarly journals PENGARUH KONSUMSI ENERGI DAN REZIM TERHADAP PERTUMBUHAN EKONOMI DI INDONESIA

2019 ◽  
Vol 1 (2) ◽  
pp. 401
Author(s):  
Zakiah Husna ◽  
Idris Idris
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Time Series Data ◽  
Secondary Data ◽  
Series Data ◽  
Renewable Energy Consumption ◽  
Energy Regime ◽  
Negative Effect ◽  
Positive Effect

This study aims to determine the effect of energy consumption and regime on economic growth in Indonesia. The data used is secondary data in the form of time series data from 1988-2017, with documentation and library study data collection techniques obtained from relevant institutions and agencies. the variables used are economic growth (GDP), non-renewable energy consumption, renewable energy consumption and regime, the research methods used are: (1) Multiple Regression Analysis (OLS), (2) Classical Assumption Test results of research stating that: ( 1) non-renewable energy consumption has a positive effect on economic growth in Indonesia. (2) consumption of renewable energy has a positive effect on economic growth in Indonesia. (3) the energy regime has a negative effect on economic growth in Indonesia. (4) non-renewable energy consumption, renewable energy consumption and energy regime have a significant effect on economic growth in Indonesia. so only the energy regime has a negative effect on economic growth in Indonesia.

scholarly journals The Financial Development-Renewable Energy Consumption Nexus in the Case of Azerbaijan

Energies ◽  
2020 ◽  
Vol 13 (23) ◽  
pp. 6265
Author(s):  
Shahriyar Mukhtarov ◽  
Sugra Humbatova ◽  
Natig Gadim-Oglu Hajiyev ◽  
Sannur Aliyev
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Financial Development ◽  
Time Series Data ◽  
Policy Implications ◽  
Small Samples ◽  
Series Data ◽  
Energy Prices ◽  
Renewable Energy Consumption

This article analyzed the relationship between financial development, renewable energy consumption, economic growth, and energy prices in Azerbaijan by employing time series data for the time span of 1993–2015. The autoregressive distributed lagged (ARDL) technique was applied in empirical estimations, because it performs better than all the alternative techniques in small samples, which was the case here in this article. The results of estimation found that there is a positive and statistically significant influence of financial development and economic growth on renewable energy consumption, whereas the prices of energy proxied by CPI have an adverse impact on renewable energy consumption in Azerbaijan. Also, estimation results demonstrated that a 1% rise in financial development, proxied by domestic credit as a percentage of GDP, and economic growth increase renewable energy consumption by 0.16% and 0.60%, respectively. The different financial development impacts on renewable energy consumption and related policy implications were also introduced.

Investigating the Causal Linkage Among Economic Growth, Energy Consumption and CO2 Emissions in Thailand: An Application of the Wavelet Coherence Approach

2020 ◽  
Vol 10 (1) ◽  
pp. 17-26 ◽  
Author(s):  
Tomiwa Sunday Adebayo ◽  
Gbenga Daniel Akinsola
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Co2 Emissions ◽  
Time Series Data ◽  
Wavelet Coherence ◽  
Series Data ◽  
Energy Usage ◽  
Positive Correlation ◽  
Long Run ◽  
Growth Energy

The study aims to explore the causal linkage between CO2 emissions, economic growth and energy consumption in Thailand utilizing the wavelet coherence approach, conventional Granger and the Toda-Yamamoto causality techniques. In this study, In this study, time-series data spanning the period between 1971 and 2018 were used. No prior study has used the wavelet coherence approach to collect information on the association and causal interrelationship among these economic variables at different frequencies and timeframes in Thailand. The study objectives are structured to answer the following question: Does economic growth and energy consumption lead to CO2 emissions in Thailand?. The findings revealed that: (a) Changes in economic growth led to changes in CO2 emissions in Thailand at different frequencies (different scales) between 1971 and 2018. (b) A bidirectional causal relationship between CO2 emissions and energy consumption. (c) A positive correlation between CO2 emissions and energy usage in the short and long-run between 1971 and 2018. (d) A positive correlation between GDP growth and CO2 emissions in the short and long-run between 1971 and 2018. The study suggested that Thailand should initiate stronger policies towards enhancing the efficiency of energy and energy-usage programs to minimize unnecessary energy waste.

scholarly journals Tax Revenue, Capital Formation, and Economic Growth in Nigeria

2021 ◽  
Vol 12 (1) ◽  
pp. 101
Author(s):  
A. Abiola Oluwatobi ◽  
F. Adegbie Festus ◽  
O. Ogundajo Grace
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Causal Effect ◽  
Capital Formation ◽  
Fixed Capital ◽  
Sustainable Growth ◽  
Series Data ◽  
Tax Revenue ◽  
Fixed Capital Formation ◽  
The Government

Economic growth drivers aimed at stimulating and stabilizing the economies of the countries to engender sustainable growth. Studies have shown that Nigeria has been plagued with stunted and faltering economic growth over the years. Tax and other relevant macroeconomic policies are implemented by the government to smoothen out economic fluctuations but this has not been fully harnessed. A causal-effect study was conducted between tax revenue, gross fixed capital formation and economic growth using a 38-year time series data from 1981 to 2018 derived from CBN statistical bulletin. It was found that tax revenue (TR) had significant positive effect on Gross Domestic Product and Gross Fixed Capital Formation (GFCF) significantly controls the relationship between TR and GDP. It is evidenced that the country relied heavily on taxes as major source of revenue. The study recommended that government should widen its tax net, creates expansionary measures to enhance its tax revenue in order to boost its GDP. The government should also create an enabling environment for economy diversifications in order to increase revenue generated via other means than taxes in order to spur economic growth and avoid over-reliance on taxes.

scholarly journals A Dynamic Linkage between Financial Development, Energy Consumption and Economic Growth: Evidence from an Asymmetric and Nonlinear ARDL Model

Energies ◽  
2021 ◽  
Vol 14 (16) ◽  
pp. 5006
Author(s):  
Imran Khan ◽  
Faheem Ur Rehman ◽  
Paula Pypłacz ◽  
Muhammad Asif Khan ◽  
Agnieszka Wiśniewska ◽  
...  
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Financial Development ◽  
Time Series Data ◽  
Structural Break ◽  
Unit Root Test ◽  
Series Data ◽  
Asymmetric Effect ◽  
Nonlinear Ardl ◽  
Nonlinear Ardl Model

Developing countries, including Pakistan, need a considerable effort to withstand economic growth; however, these countries have to cope with greenhouse gases emission and other environmental concerns. Financial advancement gives rise to modern, sometimes even innovative and energy-efficient technologies and, thus, contributes to a decline in energy usage among market entities: organizations and households. The current study explores the nonlinear asymmetric relationship between economic growth (Y) and the selected exogenous variables in Pakistan by incorporating time series data spanning from 1971 to 2016. Economic growth was considered as a target variable, while energy consumption (EC), electric power consumption (EPC), financial development (FD), and energy imports (EM) were considered independent variables. To investigate cointegration among the given variables, a nonlinear ARDL bound testing approach was employed. BDS independence test was used to check the nonlinearity, and a structural break unit root test was used for testing data stationarity. The findings confirm the presence of co-integration in the selected variables. A symmetric unidirectional significant causality exists running from EPC to Y, while a bidirectional symmetric causality was found between FD and Y. In contrast, any negative shocks in EPC, FD, and EM were found to have a positive asymmetric effect on Y. Meanwhile, a neutral effect was found between EC and Y. The outcomes of this study can provide guidelines for future researchers and policymakers.

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