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By adopting Westerlund's panel cointegration test, and the panel Granger, non‐causality test, this study investigates the long‐run and causal relationship between energy consumption and economic growth and energy transition in Africa. The test took into account cross‐sectional dependency for five African areas from 1990 to 2018. The models additionally contain labour and capital stocks to investigate causality and cointegration in the areas. The cross‐sectional dependency test shows that the African region sample is cross‐sectionally correlated. The panel cointegration test shows evidence of a long‐run relationship between economic growth, energy consumption, labour and capital stock in all areas. The non‐causality result shows a uni‐directional causality from economic growth to energy use. [ABSTRACT FROM AUTHOR]

This study exposes the potential role of financial development to determine economic growth and utilisation of energy. Moreover, it also identifies how information communication technology (ICT) moderates this relationship. By sampling a large range of data from 138 economies for the year 1980–2020, the current study employs the panel least square model to test the regression. The result reveals that economic growth and information communication technology have a positive significant impact on energy utilisation. Financial advancement has a direct significant effect on energy utilisation and economic growth. Similarly, the moderating role of ICT was also observed in the current analysis. The current analysis guides policymakers on the relevant role of financial development in improving the economic status and consumption of energy. The policymakers in these various countries should balance the connection between the supply and demand of energy to accomplish the sustained development of the economies. Furthermore, the analysis speaks about the significance of ICT in boosting energy consumption and gives an important policy recommendation regarding the role of ICT both in economic growth and energy utilisation. [ABSTRACT FROM AUTHOR]

The growing apprehension of global warming, greenhouse gas emissions and increasing use of fossil fuel due to emergent economic activity signifies that for the sustainability of the environment cleaner energy use is important. In the same pursuit, this study aims to examine the energy, environment and economic growth nexus of Bangladesh, incorporating both renewable and non‐renewable energy consumption with forest depletion. We have employed the Two‐Stage Least Square approach to avoid likely simultaneity bias and possible endogeneity of the variables arising from the ordinary least squares. Result postulates non‐renewable energy consumption and forest depletion have a significant impact on CO2 emission, whereas renewable energy shows no significant consequence. The issue which arises in this regard is that renewable energy consumption has not yet reached a stage from where it could play a substantial role in emission reduction of the country. Therefore, countries should adopt policies that would provide a conducive environment for affordable energy use. [ABSTRACT FROM AUTHOR]

This paper investigates the association among energy consumption, carbon‐dioxide emission, and India's economic growth along with supplemental variables including foreign direct investment, population density, inflation, and agricultural land. An autoregressive distributive lag model is applied over annual time‐series data from 1985 to 2019. Further, the robustness and novelty of the model are confirmed by applying fully modified ordinary‐least‐square, dynamic ordinary‐least‐square, canonical co‐integrating regression, variance decomposition, and impulse response function. The analysis results indicate that a cointegration association exists among variables. In the short run, the profound determinants of economic development are energy consumption, carbon‐dioxide emission, inflation, and agricultural land. In the long run, both inflation and agricultural land significantly negatively influence economic growth while carbon emission drives a positive impact. Interestingly, a one‐way Granger causality runs from economic growth towards energy consumption, carbon emission, and agricultural land. The new research presents a comprehensive understanding of economic growth indicators, aiding policymakers, and advancing existing literature. Consequently, as a recommendation, the policymakers should constitute explicit goals for renewable energy consumption to stimulate sustainable economic growth with carbon emission reduction. [ABSTRACT FROM AUTHOR]

This empirical study examines the causal links among renewable energy consumption (REC) and non‐renewable energy consumption (NREC) and economic growth in Germany, the UK and France between 1980 and 2019. To this purpose, we use two different approaches: Toda and Yamamoto (Journal of Econometrics, 66, 1995, 225) time causality test and Lemmens et al. (International Journal of Forecasting, 24, 2008, 414) frequency causality test. For UK and France, the results show no significant causality between Gross Domestic Product (GDP) and REC, which supports the neutrality hypothesis. Regarding NREC, similar findings are obtained. However, for Germany, the time approach indicates bi‐directional causality between REC and GDP, while the frequency approach shows uni‐directional causality from REC to GDP in the long‐run. Therefore, there is a consensus on the growth hypothesis in Germany. Furthermore, the frequency analysis displays also one way causal nexus running from Germany's GDP to NREC in long horizons. The policymakers in UK and France should take into account that renewables and energy conservation policies are neutral in respect to economic growth. As for Germany, measures of reducing NREC would not significantly damage GDP, and renewable energies promotion plan would be beneficial for economic growth. [ABSTRACT FROM AUTHOR]

This paper investigates the nexus between energy consumption and economic growth in Bangladesh over the period 1971–2018 using the autoregressive distributed lag (ARDL) approach to cointegration. The main contribution of this study is the inclusion of exogenous dynamic (globalisation) and endogenous factor (political risk indicator measured by political terror scale (PTS)) to the energy consumption–economic growth nexus. The study explores an energy consumption–economic growth nexus where globalisation and PTS have both positive and negative influences on this relationship in the short run and long run. The Toda–Yamamoto Granger causality test confirms the feedback hypothesis, that is bidirectional causal relationship between energy consumption and economic growth, and the result is further verified by the impulse response function. Therefore, policymakers should enhance the availability of energy for people and industries to continue the existing momentum of economic growth. Besides, the government should cautiously deal with both the globalisation and political risk issues about energy consumption–economic growth nexus in Bangladesh. [ABSTRACT FROM AUTHOR]

Energy is the lifeblood of the global economy, a key input to almost all the goods and services of the modern world. The primary objective of this study is to examine the relationships between per capita energy consumption and per capita GDP in India from 1970–1971 to 2014–2015. The data analysis was conducted using the three‐stage Johnson cointegration, vector autoregression and Granger causality test. The results of the study documented that there was the presence of unidirectional causality running from per capita GDP to per capita energy consumption and the absence of a long‐term equilibrium relationship between per capita energy consumption and per capita GDP in India. More significantly, India has already demonstrated an impressive ability to develop, deploy, replicate and scale up innovative, market‐based approaches to energy efficiency. The country has an excellent basis for further energy efficiency policy innovation and market creation, including a strong community of non‐governmental organisations, research institutes and think tanks active in energy efficiency. [ABSTRACT FROM AUTHOR]

This study aims to investigate the validity of the pollution haven hypothesis for the global panel consisting of 29 countries (Bahrain, Israel, Jordan, Saudi Arabia, Turkey, United Arab Emirates, Oman, Kazakhstan, Kyrgyz Republic, Tajikistan, Turkmenistan, Uzbekistan, China, Japan, Mongolia, Hong Kong, Korea rep, Bangladesh, India, Pakistan, Sri Lanka, Nepal, IR Iran, Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam are taken as the sample of this study) with energy consumption, economic growth and trade openness as additional determinants of environmental degradation over the period 1994–2014. To make the panel data analysis more homogenous, we also investigate the validity of the PHH for a number of sub‐panels. These sub‐panels are constructed based on the sub‐regions of Asia. In this way, we end up with six Asian panels; namely, Global panel, West Asia, Central Asia, East Asia, South Asia and Southeast Asian panels. Based on the IPS and ADF chi‐square unit root test and Pedroni cointegration test results, all variables were found to be first difference stationary and cointegrated. On applying FMOLS, the long‐run results suggest the presence of the pollution haven hypothesis only in East Asian panel. In turn, foreign direct investment reduces environmental degradation, thus rejecting the validity of the pollution haven hypothesis (PHH) in the Southeast Asian panel which is found to be negatively linked to CO2 emissions. Moreover, energy consumption seems to be the main determinant of carbon emissions and GDP growth has a positive impact on it in all panels except West Asia. Lastly, East Asian countries have followed the Kyoto protocol in order to reduce their emissions level. [ABSTRACT FROM AUTHOR]

The paper statistically examines whether the fluctuations in crude oil prices over the last 10 years are due to speculative activities or changes in market fundamentals. Following a brief review of the oil market developments and speculative activities in recent years, the paper employs two multivariate time series models-the vector autoregressive model (VAR) and the vector error correction model (VECM)-to evaluate observed fluctuations in crude oil prices. The VAR and its granger test allow for the detection of factors responsible for fluctuations in crude oil prices, while the VECM tests the co-integration of the variables. The VAR includes both fundamental and non-fundamental variables as covariates. The VECM results show that in both the short- and long-term the significant variables of the VAR model are co-integrated. The empirical results confirm that in the long-term the fundamentals are the main drivers of crude oil prices. However, in the short term, both fundamentals and speculative positions in the oil futures market differentially cause fluctuations in crude oil prices. The effect of the fundamentals is more than double in the long term, when compared to the short-term. [ABSTRACT FROM AUTHOR]

The aim of this study is to explore the dynamic linkage between energy efficiency and total factor productivity ( TFP) using carbon emission and trade openness as control variables for the period of 1971-2013. For this purpose, vector error correction mechanism ( VECM) is employed to determine the direction of causality. A popular and simple measure of energy efficiency, GDP per unit of energy use and trade as a percentage of GDP are used for the proxy of trade openness. The result shows negative impact of energy efficiency on TFP, in other way energy intensity has a positive impact on the growth of TFP. Hence, the negative sign indicates a trade-off between energy efficiency and TFP. There is a unidirectional causality running from energy efficiency to TFP. Whenever energy intensity increases, the TFP level increases as well. So, in the long run, a higher TFP implies higher energy consumption. Further, TFP and carbon emission Granger cause trade openness, and there is unidirectional causality from TFP to CO2 emission. [ABSTRACT FROM AUTHOR]

This paper investigates the dynamic causal relationship between energy consumption, human capital investment and economic growth in South Africa for the period 1960-2015 within the vector error correction model ( VECM) framework. It was revealed that there is cointegration among the variables. The causality test result reveals that there exists a long-run bi-directional relationship between economic growth and energy consumption. While on the other hand, a long-run unidirectional causal relationship was discovered running from economic growth and energy consumption to social and economic infrastructure investment. This justifies the government's massive investment in the energy sector which is aimed at meeting the increasing energy demand. However, the lack of feedback from social infrastructural investment may imply that the focus social infrastructure investment is not adequate to granger cause growth or due to high inequality and unemployment in the country which will require more investment attention for it to significantly affect growth. The government, therefore, should give priority to the provision of both social and economic infrastructure investment and implementation of policies that are aimed at human capital development through public empowerment so that they can support the economy instead of depending on the government. [ABSTRACT FROM AUTHOR]

The fast increase in oil prices in the past 15 years and the spectacular fall in 2008 and in 2014 has led to the rethinking of supply and demand as the only determinant price. It has been observed in the last decade that large financial institutions, hedge funds, index funds and other investment funds invest billions of dollars in the futures market benefiting from the changes in oil prices. We considered the net long position of each trader category in the New York Mercantile Exchange to estimate, through the Vector Error Correction Model (VECM), the impact of each category on oil price and on volatility. Similarly, we also consider quarterly world oil demand, supply, inventories and industrial production from 1993 and 2015. The results show that fundamental variables have a strong and longlasting relationship with oil price. Unlike the fundamental variables, the non-fundamental variables very quickly became stable and react in a different way when the prices of oil rise and fall. The results show that the main factor for the increase of the price in 2008 was the higher than expected demand. For the 2014 decline the VECM shows that supply is the main force behind it. The non-fundamental variables together can explain almost 11 per cent of the variations of the price in 2008-2009. However, for the 2014-2015 period, the non-fundamental combined explained only 5 per cent. The non-fundamental have low share in the changes in oil price despite having a strong effect on volatility. [ABSTRACT FROM AUTHOR]

The meteoric decline in oil price in late 2014, a manifestation of crude oil price volatility, pressured the fiscal positions of many oil-exporting countries (OECs). This study examined the relationship between oil price volatility and OECs' fiscal policy [proxied by primary fiscal balance (PFB)] responses. It estimated a small open-economy aggregate demand model in which oil price is externally determined. Using various measures of oil price volatility in a vector error correction (VEC) model, this study established that fiscal policies in OEC were not procyclical but driven by oil price volatility. Oil price volatility reduced PFB in the short run. In the long run however, PFB rose in response to price volatility, suggesting that OECs' governments eventually consolidate their fiscal positions to reduce short-run fiscal deficit induced by oil price volatility. Though their fiscal policies were pressured in the short run, OECs were able to stabilise their fiscal dynamics in the long run. [ABSTRACT FROM AUTHOR]

This paper examines the determinants of current accounts balance in Nigeria with emphasis on oil-related variables using the Johansen-Julius vector error correction estimation approach, the impulse response function and the variance decomposition analysis. The results showed that oil price, oil balance and oil revenue are positively related with the current account, with only oil wealth having a significant negative impact in the long run. We find that the impact of oil price on the current balance is only significant in the short run. The variance decomposition analysis indicated that the variance in the current account is better explained by shocks to itself followed by shocks to oil price, oil balance and fiscal balance. [ABSTRACT FROM AUTHOR]