The Relationship between Economic Growth and Energy Consumption Disaggregated by Sector: The Case of Morocco

Fatima Zahraa Tatou, Abdellah Yousfi and Tawfiq Rahaoui
Additional contact information
Fatima Zahraa Tatou: Laboratory of Economic Analysis and Modelling, Faculty of Economic and Social Legal Sciences, University Mohammed V, Rabat, Morocco
Abdellah Yousfi: Laboratory of Economic Analysis and Modelling, Faculty of Economic and Social Legal Sciences, University Mohammed V, Rabat, Morocco
Tawfiq Rahaoui: Laboratory of Economic Analysis and Modelling, Faculty of Economic and Social Legal Sciences, University Mohammed V, Rabat, Morocco

International Journal of Energy Economics and Policy, 2023, vol. 13, issue 3, 538-544

Abstract: The type of relationship that can link energy with economic growth plays a major role in determining the macroeconomic policy of a country. Therefore, several studies have been carried out to derive econometric models to link energy consumption with gross domestic product (GDP). However, in these studies the energy consumption has been used in its global term, while this consumption includes all the economic sectors that use energy (residential, industry, transport, agriculture). Therefore, the objective of this work is to examine this relationship between the gross domestic product (GDP) and energy consumption but disaggregated by sector (residential, transport and industrial). And to validate our model we have taken the case of Morocco during the period 1997-2019, in order to draw the impact of each sector on economic growth. In order to test this causality, a Vector Error Correction Model (VECM) is applied instead of a Vector Autoregressive Model (VAR), using the Johansen cointegration technique. The results obtained showed that in the long run energy consumption by the transportation and residential sectors has a positive impact on GDP, while that of households has a negative impact.

Keywords: Energy consumption; Economic growth; Sector; Vector Error Correction Model (VECM); Cointegration; Johansen causality (search for similar items in EconPapers)
JEL-codes: O40 Q40 Q43 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.econjournals.com/index.php/ijeep/article/download/14049/7335 (application/pdf)
https://www.econjournals.com/index.php/ijeep/article/view/14049 (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:journ2:2023-03-59

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 ().