The Effects of Electricity Consumption on Agriculture, Service and Manufacturing Sectors in Malaysia

Tan Lee Pei, Mohd Shahidan Shaari and Tunku Salha Tunku Ahmad
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Tan Lee Pei: School of Business Innovation and Technopreneurship, University Malaysia Perlis, Malaysia,
Mohd Shahidan Shaari: School of Business Innovation and Technopreneurship, University Malaysia Perlis, Malaysia,
Tunku Salha Tunku Ahmad: School of Business Innovation and Technopreneurship, University Malaysia Perlis, Malaysia.

International Journal of Energy Economics and Policy, 2016, vol. 6, issue 3, 401-407

Abstract: This paper aims to examine the effects of electric consumption on three sectors, namely, manufacturing, agriculture and services. The Johansen cointegration model is applied. The results indicate a long-run relationship between electric consumption and three sectors in Malaysia. Vector error correction models shows that it is confirmed that the long run relationship among electric consumption, agriculture and manufacturing in Malaysia. The Granger causality is used, and the results show that electric consumption does not Granger cause manufacturing and services sectors. However electricity consumption does Granger cause agriculture sector.

Keywords: Electricity consumption; Agriculture; Service; Manufacturing (search for similar items in EconPapers)
JEL-codes: Q11 Q43 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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