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    Are Shocks to Natural Gas Consumption Temporary or Permanent? Evidence From a Panel of U.S. States

    Access Status
    Fulltext not available
    Authors
    Apergis, Nicholas
    Loomis, D.
    Payne, J.
    Date
    2010
    Type
    Journal Article
    
    Metadata
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    Citation
    Apergis, Nicholas and Loomis, David and Payne, James E. 2010. Are Shocks to Natural Gas Consumption Temporary or Permanent? Evidence From a Panel of U.S. States. Energy Policy. 38 (8): pp. 4734-4736.
    Source Title
    Energy Policy
    DOI
    10.1016/j.enpol.2010.03.016
    ISSN
    0301 4215
    URI
    http://hdl.handle.net/20.500.11937/24364
    Collection
    • Curtin Research Publications
    Abstract

    This short communication examines whether or not U.S. natural gas consumption follows a stationary process. Unlike previous research that has focused on regional country or industrial sector-based panel studies, this study undertakes a sub-national investigation of natural gas consumption for the 50 U.S. states. Levin et al. (2002), Im et al. (2003), Maddala and Wu (1999), and Hadri (2000) panel unit root and stationarity tests reveal that natural gas consumption is integrated of order one. However, once allowance is made for endogenously determined structural breaks, the Carrion-i-Silvestre et al. (2005), Im et al. (2005), and Westerlund (2005) panel unit root and stationarity tests indicate that natural gas consumption is integrated of order zero. Discussion of the structural breaks is briefly surveyed in relation to the natural gas industry’s response to legislative actions.

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