EconPapers    
Economics at your fingertips  
 

The impact of public capital stock on energy consumption: Empirical evidence from Latin America and the Caribbean region

Matheus Koengkan (), Renato Santiago and José Fuinhas ()

International Economics, 2019, issue 160, 43-55

Abstract: The impact of the stock of public capital on electricity consumption per capita is analysed for eighteen Latin American and Caribbean countries over the period ranging from 1971 to 2014. We rely on the ARDL approach to capture the complexity of short- and long-run relationships between the variables. The results support that the stock of public capital influences electricity consumption only on the short run, revealing that its impact is exerted mainly by an income effect that stimulates electricity consumption momently. The stock of public capital has no long-run impact on per capita electricity consumption, rising doubts on the quality of that public stock of capital to promote development. The modelling of the drivers of electricity consumption also revealed valuable insights into how the Latin American and Caribbean region has evolved. The availability of electricity generation only stimulates moderately per capita electricity consumption, supporting that the integration of Latin American and Caribbean grids that was able to disrupt the link between local generation and consumption. This conclusion is enforced by the no statistical significance of short-run impacts of the availability of electricity generation on per capita electricity consumption.

Keywords: Electricity consumption; Public capital stock; Globalisation; Latin America; Macro panel (search for similar items in EconPapers)
JEL-codes: E50 F60 H54 O10 Q43 (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
https://www.sciencedirect.com/science/article/pii/S2110701719301003 (text/html)

Related works:
Journal Article: The impact of public capital stock on energy consumption: Empirical evidence from Latin America and the Caribbean region (2019) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cii:cepiie:2019-q4-160-5

Access Statistics for this article

More articles in International Economics from CEPII research center Contact information at EDIRC.
Bibliographic data for series maintained by ().

 
Page updated 2022-09-05
Handle: RePEc:cii:cepiie:2019-q4-160-5