Does Financial Development Lower Energy Intensity in India?

M. Tamilselvan, Srinivasan Palamalai, S. Manikandan, Manjula Veerabhadrappa and Vinod Repalli
Additional contact information
M. Tamilselvan: Faculty of Business Studies Department, University of Technology and Applied Sciences Ibri, Sultanate of Oman,
Srinivasan Palamalai: School of Management, Presidency University, Bengaluru, Karnataka, India
S. Manikandan: Faculty of Business Studies Department, University of Technology and Applied Sciences Ibri, Sultanate of Oman,
Manjula Veerabhadrappa: Faculty of Business Studies Department, University of Technology and Applied Sciences Ibri, Sultanate of Oman,
Vinod Repalli: Faculty of Business Studies Department, University of Technology and Applied Sciences Ibri, Sultanate of Oman,

International Journal of Energy Economics and Policy, 2022, vol. 12, issue 5, 111-116

Abstract: Although the relationship between finance and growth is gaining significant attention, little is known about how financial development indicators affect energy intensity in emerging nations. Given the complexity of the growth effects of financial development and energy intensity dynamics, the present paper investigates the effect of financial development and economic growth on energy intensity in India using Autoregressive Distributed Lag (ARDL) bounds testing approach. The result indicates that financial development indicators and economic growth had a long-run relationship with energy intensity. Besides, the empirical results reveal that financial development and economic growth had a negative and significant impact on energy intensity in the short and long-run, inferring that financial development and economic growth lower energy intensity in the country. The findings are helpful for India's policymakers in order to maintain the complementarity between financial development and energy intensity.

Keywords: Energy Intensity; Finance Development; Economic Growth; ARDL model; India (search for similar items in EconPapers)
JEL-codes: E44 G20 Q43 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.econjournals.com/index.php/ijeep/article/download/13366/6906 (application/pdf)
https://www.econjournals.com/index.php/ijeep/article/view/13366 (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:journ2:2022-05-13

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 ().