Mohammad Hassan Fotros; Sevda Jabraili
Abstract
Abstract
This study investigates the relationship between energy consumption and economic growth in a panel of 75 selected developed and developing countries from 1970 to 2008. To that end, different panel unit root tests, panel cointegration and pooled least square are used. Results indicate the existence ...
Read More
Abstract
This study investigates the relationship between energy consumption and economic growth in a panel of 75 selected developed and developing countries from 1970 to 2008. To that end, different panel unit root tests, panel cointegration and pooled least square are used. Results indicate the existence of Co integration relationship between economic growth and energy consumption in the long run both in developed and in developing countries. However, the co integrating vectors are not the same. Also, in the period of investigation, the developed countries have had a higher level of energy consumption than developing countries; but the long run effects of energy consumption on economic growth in developing countries have been greater than that in developed countries.
JEL Classification: O40, Q43, C22
Keywords: Energy Consumption, Economic Growth, Panel Unit Root, Panel Cointegration, Pooled Least Square.
