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    The linkage between energy consumption and income in six emerging economies of Asia

    156531_156531.pdf (438.0Kb)
    Access Status
    Open access
    Authors
    Rafiq, Shuddsattwa
    Salim, Ruhul
    Date
    2011
    Type
    Journal Article
    
    Metadata
    Show full item record
    Citation
    Rafiq, Shuddsattwa and Salim, Ruhul. 2011. The linkage between energy consumption and income in six emerging economies of Asia. International Journal of Emerging Markets. 6 (1): pp. 50-73.
    Source Title
    International Journal of Emerging Markets
    DOI
    10.1108/17468801111104377
    ISSN
    1746-8809
    School
    School of Economics and Finance
    Remarks

    The definitive version is available from Emerald Group Publishing Limited.

    URI
    http://hdl.handle.net/20.500.11937/36195
    Collection
    • Curtin Research Publications
    Abstract

    This article examines the short- and long-run causal relationships between energy consumption and GDP of six emerging economies of Asia. Based on cointegration and vector error correction modeling the empirical results show that there exists unidirectional short- and long-run causality running from energy consumption to GDP for China, uni-directional short-run causality from output to energy consumption for India, whilst bi-directional short-run causality for Thailand. Neutrality between energy consumption and income is found for Indonesia, Malaysia and Philippines. Both the generalized variance decompositions and impulse response functions confirm the direction of causality. These findings have important policy implications for the countries concerned. The results suggest that while India may directly initiate energy conservation measures, China and Thailand may opt for a balanced combination of alternative policies.

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