Economics at your fingertips  

Renewable and non-renewable energy, regime type and economic growth

Samuel Adams, Edem Kwame Mensah Klobodu and Alfred Apio

Renewable Energy, 2018, vol. 125, issue C, 755-767

Abstract: The paper analyses the effect of renewable and non-renewable energy consumption as well as the regime type on economic growth in 30 Sub-Saharan African (SSA) countries over the period 1980–2012. Using heterogeneous panel cointegration and panel-based error correction tests, we find long-run relationship between the variables. However, short-run results are not robust, which suggest that energy sector investments are long-term in nature. Specifically, the results show that while both renewable and non-renewable energy have significant positive effect on economic growth, non-renewable energy has a greater growth enhancing effect than renewable energy. A 10% increase in renewable energy consumption is associated with an increase in economic growth by 0.27%, while a 10% increase in non-renewable energy consumption leads to an increase in growth by 2.11% ceteris paribus. Further, the findings of the study show that democratic states experience higher growth rates than autocratic states.

Keywords: Renewable energy consumption; Non-renewable energy consumption; Regime type; Economic growth; Cointegration (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

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:

Access Statistics for this article

Renewable Energy is currently edited by Soteris A. Kalogirou and Paul Christodoulides

More articles in Renewable Energy from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2019-05-11
Handle: RePEc:eee:renene:v:125:y:2018:i:c:p:755-767