Investigation of the Relationship Between Economic Growth and use of Fossil and Hydroelectric Energy Resources by ARDL Boundary Test: 1971-2018 Iraq Case

Authors

  • Rogash Younis Masiha Van Yüzüncü Yıl Üniversitesi
  • Sadeq Taha Abdulazeez university of duhok
  • Dindar Saeed Saeed Van Yüzüncü Yıl Üniversitesi

DOI:

https://doi.org/10.15642/mantik.2021.7.2.155-164

Keywords:

ARDL, Cointegration, Causality, Economic Growth, Energy Resources

Abstract

Energy is an important input for economies. In this context, many countries have conducted studies to examine how energy affects their economies. In addition, the relationship between energy and economic growth is an important indicator in guiding economic policies. In this study, the effect of Energy Production from Fossil Sources (EPFS) and Energy Production from Hydroelectric Sources (EPHS) on Economic Growth (GDP) for Iraq was analyzed with the ARDL Cointegration test. The data of Iraq used in the study were taken from the official web address of the World Bank and covers the years between 1971-2018. A significant and positive relationship has been found between the energy resources discussed in the study and economic growth. In addition, according to the Toda-Yamamoto causality analysis, a causality relationship from the use of fossil energy resources to economic growth was found. Likewise, a causality relationship has been found from the use of hydroelectric energy resources to economic growth.

Downloads

Download data is not yet available.

Author Biography

Rogash Younis Masiha, Van Yüzüncü Yıl Üniversitesi

department of statistics

References

D. I. Stern, “Energy and Growth in the USA: A Multivariate Approach”, Energy Economics, 15, 137-150, 1993.

J. Kraft and A. Kraft, “On the Relationship Between Enegy and GDP”, Journal of Energy Development, 3, 401-403, 1978.

E. R. Brendt and D. O. Wood, “Engineering and Econometric Interpretations of Energy-Capital Complementarity”, American Economic Review, 69, 342-354, 1979.

B. E. Apostolakis, “Energy-Capital Substitutability/Complementarity: The Dichotomy”, Energy Economics, 12, 48-58, 1990.

T. Jobert and F. Karanfil, “Sectoral Energy Consumption by Source and Economic Growth in Turkey”, Energy Policy, 35, 5447-5456, 2007.

D. N. Gujarati and D. C. Porter, “Temel Ekonometri (Basic Econometrics) Çeviri Editörleri: Ümit Şenesen ve Gülay Günlük Şenesen”, Literatür Yayıncılık, İstanbul, 2012.

Y. Altun, Ş. İşleyen and Ç. Görür, “Türkiye’de Eğitim ve Sağlık Harcamalarının Ekonomik Büyümeye Etkisi: 1999-2017”, The Journal of Social Sciences Institute, Sayı: 39, Sayfa: 223-244, 2018.

Y. Demir and Ç. Görür, “OECD Ülkelerine Ait Çeşitli Enerji Tüketimleri ve Ekonomik Büyüme Arasındaki İlişkinin Panel Eşbütünleşme Analizi ile İncelenmesi”, EKOIST Journal of Econometrics and Statistics, 32, 15-33, 2020.

D. A. Dickey and W. A. Fuller, “Distribution of the estimators for autoregressive time series with a unit root,” Journal of the American statistical association, 74(366a), 427- 431, 1979.

D. A. Dickey and W. A. Fuller, “Likelihood ratio statistics for autoregressive time series with a unit root”, Econometrica: Journal of the Econometric Society, 1057-1072, 1981.

P. C. Phillips and P. Perron, “Testing for a unit root in time series regression”, Biometrika, 75(2), 335-346, 1988.

C. W. Granger, “Some properties of time series data and their use in econometric model specification”, Journal of econometrics, 16(1), 121-130, 1981.

R. F. Engle and C. W. Granger, “Co-İntegration İn Error Correction: Representaion, Estimation and Testing” Econometrica, 55(2), 251-276, 1987.

Ş. İşleyen, Y. Altun, and Ç. Görür, “The Causality Relationship Between Interest Rate and Income with Investment in Usa: 1965-2016”, The Journal of Academic Social Science Yıl: 5, Sayı: 60, Aralık 2017, s. 146-163, 2017.

H. H. Pesaran and Y. Shin, “Generalized impulse response analysis in linear multivariate models”, Economics letters, 58(1), 17-29, 1998.

M. H. Pesaran, Y. Shin, and R. J. Smith, “Bounds testing approaches to the analysis of level relationships”, Journal of applied econometrics, 16(3), 289-326, 2001.

H. Y. Toda and T. Yamamoto, “Statistical inference in vector autoregressions with possibly integrated processes”, Journal of Econometrics, 66(1-2), 225-250, 1995.

M. Kratzig and H. Lütkepohl, “Applied time seriese conometrics”, Cambridge University Press, 2004.

J. Squalli, “Electricity consumption and economic growth: Bounds and causality analyses of OPEC members”, Energy Economics, 29(6), 1192-1205, 2007.

D. Saeed et al., “The relationship between petroleum price and real exchange rate: an example of Iraq”, General Letters in Mathematics, 11(1) (2021), 12-17 https://doi.org/10.31559/glm2021.11.1.3

Downloads

Published

2021-10-31

How to Cite

Masiha, R. Y. ., Abdulazeez, S. T., & Saeed, D. S. (2021). Investigation of the Relationship Between Economic Growth and use of Fossil and Hydroelectric Energy Resources by ARDL Boundary Test: 1971-2018 Iraq Case. Jurnal Matematika MANTIK, 7(2), 155–164. https://doi.org/10.15642/mantik.2021.7.2.155-164

Most read articles by the same author(s)