Electricity Consumption and GDP: Dynamic Relationship and Stability
DOI:
https://doi.org/10.25115/eea.v29i2%20(2).4142Keywords:
Dynamic Relationship, Bootstrap, Structural Change.Abstract
This paper studies the dynamic relationships between energy consumption and GDP in Spain. The cross correlation function shows that the GDP causes the electricity consumption. The impact multiplier is 0.95 and the long run effect is 0.42. Bootstrap techniques and structural change test asses the significativeness and the stability along the considered sample of the estimated model.
Downloads
References
ANDREWS, D.W.K. (1993), Tests for parameter instability and structural change with unknown change point, Econometrica, 61, 4, 821-856.
ANDREWS, D.W.K., (2004), The block-block bootstrap: improved asymptotic refinements, Econometrica, 72, 673-700.
BOX, G.E.P. and JENKINS G.M. (1976), Time series analysis forecasting and control, Holden day, San Francisco.
CIARRETA, A. y ZARRAGA, A. (2010), Electricity consumption and economic growth in Spain, Applied Economic Letters, 17, 14, 1417-1421.
CHONTANWAT, J., HUNT, L.C. y PIERSE, R. (2008), Does energy consumption cause economic growth?: evidence from a systematic study of over 100 countries, Journal of Policy Modeling, 30, 209-220.
CLIMENT, F. y PARDO, A. (2007), Decoupling factors on the energy-output linkage: the spanish case, Energy Policy, 35, 522-528.
DAVIDSON, R. y MACKINNON, J.G. (2006a), The power of bootstrap and asymptotic tests, Journal of Econometrics, 133, 421-441.
DAVIDSON, R. y MACKINNON, J.G. (2006b), Bootstrap methods in econometrics, Chapter 23 in Palgrave Handbooks of Econometrics: Volume 1 Econometric Theory, ed. T. C. Mills and K. D. Patterson, Basingstoke, Palgrave Macmillan, 812-838.
DIEBOLD F.X. y CHEN, C. (1996), Testing structural stability with endogenous breakpoint: a size comparison of bootstrap and analytic procedures, Journal of Econometrics, 70, 221-241.
FREEDMAN, D.A. (1981), Bootstrapping regression models, Annals of Statistics, 9, 1218-1228.
HANSEN, B.E. (1997), Testing for structural change in conditional models, Journal of Econometrics, 97, 93-115.
HUANG, B.N., HWANG, M.J. y YANG, C.W. (2008), Causal relationships between energy and GDP growth revisited: a dynamic panel data approach, Ecological Economics, 67, 41-54.
KÜNSCH, H.R. (1989), The jackknife and the bootstrap for general stationary observations, Annals of Statistics, 17, 1217-1241.
MACKINNON, J. G. (2007), Bootstrap hypothesis testing, QED Working Paper 1127.
NARAYAN, P.K. y PRASAD, A. (2008), Electricity consumption-real GDP causality nexus: evidence from a bootstraped causality test for 30 OECD countries, Energy Policy, 36, 910-918.
OZTURK, I. (2010), A literature survey on energy-growth nexus, Energy Policy, 38, 340-349.
PAYNE, J.E. (2010a), A survey of the electricity consumption-growth literature, Applied Energy, 87, 723-731.
PAYNE, J.E. (2010b), Survey of the international evidence on the causal relationship between energy consumption and growth, Journal of Economic Studies, 37, 1, 53-95.
STOCK, J. H. (1994), Unit Roots, Structural breaks and trends, Handbook of Econometrics IV, 2739-2941.
WU, C.F.J. (1986), Jackknife, bootstrap and other resampling methods in regression analysis, Annals of Statistics, 14, 1261-1295.
