Energy Consumption and Agricultural Economic Growth Nexus: Evidence from India

Krishna Murthy Inumula, Seema Singh and Sandip Solanki
Additional contact information
Krishna Murthy Inumula: Symbiosis Institute of International Business, Symbiosis International (Deemed University), Pune, Maharashtra, India,
Seema Singh: Director, Symbiosis Centre for Corporate Education, Pune, Symbiosis International (Deemed University), Pune, Maharashtra, India.
Sandip Solanki: Symbiosis Institute of International Business, Symbiosis International (Deemed University), Pune, Maharashtra, India,

International Journal of Energy Economics and Policy, 2020, vol. 10, issue 6, 545-552

Abstract: This study aims to empirically test the relationship between agriculture economic growth and energy consumption in India covering the annual time series data for the period 1985 to 2017 on four economic indicators namely agricultural value added (constant 2010 US$) as an alternate favoring fiscal development of agriculture, energy spending represented by agricultural electricity consumption (GWh), agricultural gas consumption (mmcft) and agricultural oil consumption (tons) in India. The study variables are assessed for stationary using the ADF tests and after confirming the same order of integration, the Johansen s Co-integration Test is exercised to find the extended association amid agriculture growth and energy consumption. Both the Trace and Lmax tests found that there exists one co-integrating equation in the system. The co-integration test confirms the long run equilibrium relation between energy consumption and agricultural economic growth in India. The short run relationships are tested by using the VECM methodology and finally the impulse responses are studied for the forecast horizon of ten years period to assess the performance of agricultural growth Vis a Vis energy consumption by imposing one standard deviation shock to the independent variables.

Keywords: Co-integration; Agricultural Growth; Energy Use & Time Series Analysis (search for similar items in EconPapers)
JEL-codes: C32 O13 Q40 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
https://www.econjournals.com/index.php/ijeep/article/download/9711/5504 (application/pdf)
https://www.econjournals.com/index.php/ijeep/article/view/9711/5504 (text/html)

Related works:
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:eco:journ2:2020-06-70

Access Statistics for this article

International Journal of Energy Economics and Policy is currently edited by Ilhan Ozturk

More articles in International Journal of Energy Economics and Policy from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().