Electricity Consumption and Economic Growth: Evidence from South Asian Countries
Abstract
:1. Introduction
2. Review of Related Literature
3. Methodology and Data
4. Results
5. Conclusions
Author Contributions
Funding
Data Availability Statement
Conflicts of Interest
References
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ln Y | ES | ECI | |
---|---|---|---|
Indicator | GDP per capita (constant 2010 US$) | Electricity production from oil, gas, and coal sources (% of total) | Economic complexity index (ECI) |
Source | WDI | WDI | Atlas MIT |
Mean | 6.970 | 70.323 | −0.460 |
Std. dev | 0.558 | 23.323 | 0.411 |
Min | 5.990 | 0.159 | −1.229 |
Max | 8.279 | 99.052 | 0.339 |
N. of observations | 116 | 116 | 116 |
Variables | ln Y | ln ES | ECI |
---|---|---|---|
ln Y | 1.000 | ||
ES | −0.550 | 1.000 | |
ECI | 0.356 | 0.048 | 1.000 |
Variable | Form | Method | Statistic | p-Value | Conclusion |
---|---|---|---|---|---|
ln GDP per capita (ln Y) | Level | LLC | 4.009 | 1.000 | Non stationary |
IPS | 8.739 | 1.000 | Non stationary | ||
Fisher-ADF | 0.178 | 1.000 | Non stationary | ||
Fisher-PP | 0.108 | 1.000 | Non stationary | ||
First difference | LLC | −1.525 | 0.064 | Stationary | |
IPS | −3.360 | 0.000 | Stationary | ||
Fisher-ADF | 21.607 | 0.006 | Stationary | ||
Fisher-PP | 41.938 | 0.000 | Stationary | ||
Electricity supply (ES) | Level | LLC | −2.505 | 0.006 | Stationary |
IPS | −2.067 | 0.019 | Stationary | ||
Fisher-ADF | 16.563 | 0.035 | Stationary | ||
Fisher-PP | 18.3683 | 0.019 | Stationary | ||
First difference | LLC | −4.558 | 0.000 | Stationary | |
IPS | −6.557 | 0.000 | Stationary | ||
Fisher-ADF | 56.761 | 0.000 | Stationary | ||
Fisher-PP | 158.494 | 0.000 | Stationary | ||
ECI | Level | LLC | −3.030 | 0.001 | Stationary |
IPS | −1.915 | 0.028 | Stationary | ||
Fisher-ADF | 23.427 | 0.003 | Stationary | ||
Fisher-PP | 34.969 | 0.000 | Stationary | ||
First difference | LLC | 3.194 | 0.000 | Stationary | |
IPS | −5.176 | 0.000 | Stationary | ||
Fisher-ADF | 36.034 | 0.000 | Stationary | ||
Fisher-PP | 87.2523 | 0.000 | Stationary |
Statistics | |
---|---|
V-stat | 0.611 |
Panel rho-stat | −2.901 *** |
Panel PP-stat | −4.191 *** |
Panel ADF-stat | −4.0.75 *** |
Group rho stat | −2.192 ** |
Group PP stat | −5.252 *** |
Group ADF stat | −4.748 *** |
Kao (ADF) | −3.263 *** |
Economic Growth Does Not Granger-Cause Electricity Supply | |
---|---|
W-bar | 1.2548 |
Z-bar | 0.3603 (0.719) |
Z-bar tilde | 0.198 (0.843) |
Optimal number of lags (AIC) | 1 |
Lags tested | 1 to 7 |
Electricity Supply Does Not Granger-Cause Economic Growth | |
W-bar | 1.294 |
Z-bar | 0.415 (0.678) |
Z-bar tilde | 0.245 (0.806) |
Optimal number of lags (AIC) | 1 |
Lags tested | 1 to 7 |
Country | Null Hypothesis | Sources of Causation | |
---|---|---|---|
Z-Bar Tilde Statistic | |||
ES | GDP | ||
Bangladesh | ES doesn’t Granger-cause GDP GDP doesn’t Granger-cause ES | 1.497 (0.134) | 0.138 (0.890) |
India | ES doesn’t Granger-cause GDP GDP doesn’t Granger-cause ES | −0.391(0.696) | −0.528 (0.597) |
Pakistan | ES doesn’t Granger-cause GDP GDP doesn’t Granger-cause ES | 1.918 ** (0.055) | −0.081 (0.936) |
Sri-Lanka | ES doesn’t Granger-cause GDP GDP doesn’t Granger-cause ES | −0.406 (0.685) | −0.540 (0.589) |
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Majewski, S.; Mentel, U.; Salahodjaev, R.; Cierpiał-Wolan, M. Electricity Consumption and Economic Growth: Evidence from South Asian Countries. Energies 2022, 15, 1327. https://doi.org/10.3390/en15041327
Majewski S, Mentel U, Salahodjaev R, Cierpiał-Wolan M. Electricity Consumption and Economic Growth: Evidence from South Asian Countries. Energies. 2022; 15(4):1327. https://doi.org/10.3390/en15041327
Chicago/Turabian StyleMajewski, Sebastian, Urszula Mentel, Raufhon Salahodjaev, and Marek Cierpiał-Wolan. 2022. "Electricity Consumption and Economic Growth: Evidence from South Asian Countries" Energies 15, no. 4: 1327. https://doi.org/10.3390/en15041327