scholarly journals Energy Consumption and Bi-Sectoral Output in Pakistan: A Disaggregated Analysis

2021 ◽  
Vol 3 (2) ◽  
pp. 68-79
Author(s):  
Ahtasham Nasir ◽  
Muhammad Zahir Faridi ◽  
Hammad Hussain ◽  
Khawaja Asif Mehmood
Keyword(s):  
Energy Consumption ◽  
Negative Relationship ◽  
Industrial Output ◽  
Strong Bond ◽  
Agricultural Output ◽  
Agriculture Sector ◽  
Distributed Lag ◽  
Sectoral Output ◽  
Long Run ◽  
Short Run

The objective of study is to check the vigorous impact of energy consumption on industrial and agricultural output with disaggregated analysis by having openness in both sectors and tube wells lone in agriculture sector as controlled variables. It is essential to analyze a connection between energy consumption and bi-sectoral output in Pakistan. Industrial and agricultural outputs have been taken as dependent variable, as they are mainly dependent on energy consumption. The data from 1999-2019 is employed for the analysis. The econometric technique autoregressive distributed lag (ARDL) results are showing a strong bond between energy consumption and industrial output in disaggregated relationship. Electricity shows a negative relationship with industrial output because of developing countries power supply failure dilemma. Similarly, agriculture sector shows significance with energy consumption in disaggregated analysis. Openness of agriculture and gas consumption in agriculture shows a negative but statistically significant relationship. Capital and labor in both sectors are highly influencing regressors as par neo classical output theory, in our disaggregated energy consumption analysis. Error correction regression shows a strong short run and long run relationship of energy consumption with industrial and agricultural output. The stability diagnostic recursive estimates show the perfectly interlinked variables in both models. The present research is equally important for the academic and policy makers as it reveals a strong bond between energy consumption and bi-sector output in Pakistan. Potential measures on energy supply can increase industrial and agricultural output.

Determinants of Total Factor Productivity in Mexico, Indonesia, Nigeria, and Turkey (1980–2014)

2018 ◽  
Vol 4 (2) ◽  
pp. 192-217 ◽  
Author(s):  
Phillip Akanni Olomola ◽  
Tolulope Temilola Osinubi
Keyword(s):  
Human Capital ◽  
Total Factor Productivity ◽  
Negative Relationship ◽  
Annual Data ◽  
Factor Productivity ◽  
Distributed Lag ◽  
Long Run ◽  
The World ◽  
Government Stability ◽  
Short Run

This study analyzed the macroeconomic and institutional determinants of total factor productivity (TFP) in the MINT (Mexico, Indonesia, Nigeria, and Turkey) countries during the period 1980–2014. Annual data covering the period between 1980 and 2014 were used. Data on real gross domestic product (real GDP), labor force, gross fixed capital formation, foreign direct investment (FDI), human capital, and inflation were sourced from the World Development Indicators published by the World Bank. Also, data on corruption, government stability, and law and order were obtained from the database of International Country Risk Guide. Panel autoregressive distributed lag (PARDL) regression technique was used to estimate the model. Results showed that TFP growth rate declined on average by 1.4 per cent and 1.8 per cent in Mexico and Turkey, respectively, while Indonesia and Nigeria did not experience productivity growth on the average. Results also showed that in the long run, human capital and government stability had positive and significant effects on TFP, while FDI and corruption had negative but significant effects on TFP. In the short run, there existed a significant negative relationship between TFP and inflation. However, the effects of human capital and corruption on TFP were positive and significant. The study concluded that human capital and corruption were key drivers of TFP in the MINT countries both in the long run and short run.

scholarly journals Determinants of Agricultural Productivity: Empirical Evidence from Pakistan’s Economy

2016 ◽  
Vol I (I) ◽  
pp. 1-12
Author(s):  
Mehmood Kakar ◽  
Adiqa Kiani ◽  
Asia Baig
Keyword(s):  
Correction Term ◽  
Agricultural Productivity ◽  
Agriculture Sector ◽  
Distributed Lag ◽  
Productivity Convergence ◽  
Long Run ◽  
Short Run ◽  
Auto Regressive ◽  
Total Productivity ◽  
Positive Effect

This article examines the determinants of the total productivity of the agriculture sector which enhances the total agricultural productivity in Pakistan and analyzes the relations among variables used for the analysis from 1990 - 2017. The application of the auto regressive distributed lag technique ARDL was used to approximate various determinants. The area under cultivation, fertilizer consumption, agriculture credit, and rainfall show a positive effect on agriculture productivity, whereas agriculture employment and pesticide consumption show a positive but statistically insignificant effect on agricultural productivity in the long run. While in the short-run all determinants have a positive and significant effect on total agriculture productivity convergence towards equilibrium is shown by error correction term is 0.829.

Determinants of environmental degradation in Saudi Arabia: exploring the unexplored

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Tahir ◽  
Arshad Hayat ◽  
Umar Burki
Keyword(s):  
Saudi Arabia ◽  
Environmental Degradation ◽  
Time Series Data ◽  
Trade Openness ◽  
Negative Relationship ◽  
Series Data ◽  
Content Type ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run

Purpose Environmental degradation is recognized as a serious problem globally, and hence, Saudi Arabia is no exception. This paper aims to focus on the economy of Saudi Arabia to identify the determinants of environmental degradation. Design/methodology/approach Time series data spanning from 1971 to 2014 is used and analyzed using the recently developed autoregressive distributed lag modeling approach. Findings The obtained results reflected that natural resources, per person income and urbanization, have impacted environmental degradation both positively and significantly in the long run. Similarly, an insignificant negative relationship is established between trade openness and environmental degradation. Moreover, energy consumption has positively but insignificantly affected environmental degradation. In the short run, only per capita income has positively influenced environmental degradation while the rest of the variables have lost either significance levels or their direction of relationship has reversed. Originality/value As this is a pioneering study on the economy of Saudi Arabia, therefore, the authors assume that policymakers will find the findings of the current study very useful while formulating and implementing policies to control environmental degradation.

scholarly journals Exploring the Effect of Energy Consumption on the Economic Growth of Albania

2019 ◽  
Vol 30 (5) ◽  
pp. 530-543
Author(s):  
Ronald Ravinesh Kumar ◽  
Peter Josef Stauvermann ◽  
Nikeel Kumar
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Structural Breaks ◽  
Energy Resource ◽  
Correction Method ◽  
Energy Effect ◽  
Energy Growth ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run

Albania is one of the most energy-resource abundant country, however faced with high domestic electricity demand. Moreover, the country is the largest crude oil producer in Europe. In this study, we investigate the following questions: (i) Is there a long-run association between energy consumption and output in Albania? (ii) What is the magnitude of energy effect in the short- and long-run on output in Albania? (iii) Which of the four hypotheses on the energy-growth nexus describes most appropriately the energy-growth nexus in the case of Albania? (iv) How do the results compare with those of earlier studies? Thus, the study examines the effect of energy consumption on the economic growth of Albania over the periods 1980 to 2014 using a Cobb-Douglas production function whilst controlling for multiple structural breaks. The short-run and long-run estimations are carried out using the autoregressive distributed lag (ARDL) bounds procedure. Causality is examined using the vector error correction method. Also, we conduct consistency and robustness checks using other regression methods. The results from the ARDL procedure indicate that the elasticity of income with respect to energy is 0.36. This implies that ceteris paribus, a 1% increase in energy consumption will increase output by 0.36%. The causality result supports the conservation hypothesis which implies that economic growth drives energy consumption, which is consistent with some of the earlier studies.  

scholarly journals Market concentration and foreign direct investment in the financial leasing sector of the Republic of Serbia

Skola biznisa ◽  
2020 ◽  
pp. 1-19
Author(s):  
Marija Radulović
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Negative Relationship ◽  
Market Concentration ◽  
Financial Leasing ◽  
Distributed Lag ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
The Republic

The financial leasing market in previous years is characterised by a growth that is also expected in the coming period. Besides, developing countries are striving to attract as much foreign direct investment (FDI) as possible to accelerate economic growth and achieve macroeconomic stability. The aim of this paper is to determine whether there is a relationship between FDI and the level of market concentration in the financial leasing sector of the Republic of Serbia and to determine whether this relationship is long-term or short-term. Quarterly data from the first quarter of 2006 to the first quarter of 2019 were used. Autoregressive Distributed Lag approach (ARDL) and bounds test were used for data analysis. The results showed that there is a negative relationship between FDI and the level of market concentration in the financial leasing sector of the Republic of Serbia in the long run, while there is no statistically significant relationship between FDI and the level of market concentration in the short run.

scholarly journals Sectoral growth linkages of agricultural sector: Implications for food security in Pakistan

2019 ◽  
Vol 65 (No. 6) ◽  
pp. 278-288 ◽  
Author(s):  
Hafiz Asim ◽  
Muhammad Akbar
Keyword(s):  
Agricultural Sector ◽  
Negative Impact ◽  
Industrial Sector ◽  
Agricultural Output ◽  
Services Sector ◽  
Agriculture Sector ◽  
Long Run ◽  
Sectoral Growth ◽  
Short Run ◽  
The Impact

Does the growth in non-agricultural sectors spill over to the agricultural sector of an economy? There is limited evidence available on the issue for the developing world, especially for Pakistan which has undergone large structural changes since its independence. This study examined the impact of sectoral growth linkages on agricultural output of Pakistan for the period of 1960–2016. We have estimated an econometric model which incorporates inter-sectoral linkages of Pakistan economy using a Vector Error Correction Model (VECM). Our analysis revealed that the economy of Pakistan has shifted from an agricultural dominant economy to services-based economy during the past six decades. Results of VECM show that the industrial sector has a negative impact on the performance of agricultural output whereas services sector is influencing the output of agriculture sector positively in the long run. Short run results show that industrial sector is affecting the performance of agricultural output positively whereas services sector is influencing the output of agriculture sector negatively. Negative impacts of industry in the long run and services in the short run imply that agricultural sector should be given its due share in public investment and the role of middle man should be minimised at the time of sale of agricultural production in the markets.<br />

scholarly journals Are Energy Consumption, Population Density and Exports Causing Environmental Damage in China? Autoregressive Distributed Lag and Vector Error Correction Model Approaches

2021 ◽  
Vol 13 (7) ◽  
pp. 3749
Author(s):  
Mohammad Mafizur Rahman ◽  
Xuan-Binh (Benjamin) Vu
Keyword(s):  
Energy Consumption ◽  
Co2 Emissions ◽  
Environmental Damage ◽  
Correction Model ◽  
Vector Error Correction ◽  
Distributed Lag ◽  
Autoregressive Distributed Lag ◽  
Vector Error ◽  
Long Run ◽  
Short Run

This paper investigates whether energy consumption, population density, and exports are the main factors causing environmental damage in China. Using annual data from 1971–2018, unit root tests are applied for the stationarity analyses, and Autoregressive Distributed Lag (ARDL) bounds tests are used for the long-run relationships between the variables. A Vector Error Correction Model (VECM) Granger approach is employed to examine the causal relationships amongst the variables. Our findings show that the selected variables are cointegrated, and that energy consumption and economic growth are identified as the main reasons for CO2 emissions in both the short-run and long-run. In contrast, exports reduce CO2 emissions in the long-run. Short-run unidirectional Granger causality is found from economic growth to energy consumption, CO2 emissions and exports, and from CO2 emissions to energy consumption and exports. Moreover, long-run causal links exist between CO2 emissions and exports. Five policy recommendations are made following the obtained results.

scholarly journals Climate Change and Food Security in Pakistan: A Time Series Analysis

2016 ◽  
Vol I (I) ◽  
pp. 47-55
Author(s):  
Nasir Munir ◽  
Adiqa Kiani ◽  
Asia Baig
Keyword(s):  
Climate Change ◽  
Food Security ◽  
Food Availability ◽  
Negative Relationship ◽  
Agriculture Sector ◽  
Average Temperature ◽  
Long Run ◽  
Short Run ◽  
The Impact ◽  
Positive Effect

Climate change has a severe impact on the accessibility of various resources on earth. The present study determines the impact of climate change on food availability for 27 years from 1990-2016. An ARDL model is used in order to find out the long-run and short-run relationships. The result shows that average temperature shows a negative relationship with food security, as the temperature is increasing the food security is decreasing Food security has a positive relation with agriculture credit since as the agriculture credit increases it will increase the production of agriculture sector which in result increase the supply of food and increase the food security in the country. Fertilizer consumption also has a positive effect on food availability, which is obvious as more and more food is provided with the increased use of fertilizer.

scholarly journals Determinants of unemployment in less developed countries

2018 ◽  
Vol 48 ◽  
pp. 01015
Author(s):  
Asma Riaz ◽  
Fareeha Zafar
Keyword(s):  
Vocational Education ◽  
Empirical Relationship ◽  
Negative Relationship ◽  
Developed Countries ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Auto Regressive ◽  
Level Of Significance ◽  
Determinants Of Unemployment

Unemployment is a major issue all over the world in both developed and under developed countries. This study analyzes those factors which determine unemployment in Pakistan. The data is taken from1990-2015 to see the empirical relationship between GDP, Population, Technical & Vocational education, degree colleges and universities enrollment. ARDL (Auto Regressive Distributed Lag) approach is used to check the determinants of unemployment in Pakistan. Long run results show that there is a negative relationship between GDP and unemployment. Population has positive and significant relation and technical & vocational education has positive and insignificant relation with unemployment in Pakistan. The results of Short run ECM-1(Error correction model) show that the negative and significant relationship with unemployment. The CUSUM and CUSUMQ (Graph) are represent that model is structurally stable within critical bound at 5% level of significance.

Does human capital matter for reduction in energy consumption in India?

2019 ◽  
Vol 13 (2) ◽  
pp. 359-376 ◽  
Author(s):  
Vaseem Akram ◽  
Bhushan Praveen Jangam ◽  
Badri Narayan Rath
Keyword(s):  
Human Capital ◽  
Energy Consumption ◽  
Energy Conservation ◽  
Least Squares ◽  
Negative Relationship ◽  
Ordinary Least Squares ◽  
Annual Data ◽  
Content Type ◽  
Long Run ◽  
Short Run

Purpose This paper aims to investigate whether improvement in human capital can foster energy conservation by reducing the energy consumption in India using annual data from 1980 to 2014. Further, this study examines the relationship between human capital and various forms of energy consumption such as electricity, coal, natural gas, hydrocarbon gas and petroleum consumption. Design/methodology/approach To attain the objective, the study investigates this relation through the auto-regressive distributed lag model (ARDL) technique to find a long-run and short-run relationship. Second, to check the robustness of the results, the authors use alternative econometric methods such as dynamic ordinary least squares and fully modified dynamic ordinary least squares. Findings The results reveal a negative relationship between human capital and energy consumption, which implies that improvement in human capital lowers the energy consumption and various forms energy consumption, except for petroleum consumption. The results derived from ARDL show that there exists a long-run and short-run association between human capital and energy consumption. The results are consistent across the econometric techniques. Practical implications Because G20 countries including India aim at reducing carbon emission to a certain level, this study provides an insight that by emphasizing on human capital, India can reduce energy consumption, which would foster energy conservation. Originality/value To the best of the authors’ knowledge, this the first study in India which attempts to examine the effect of human capital on energy consumption and its various forms.

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