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Institutions and geography: A "two sides of the same coin" story of primary energy use in Sub-Saharan Africa

Laté Ayao Lawson and Phu Nguyen-Van ()

Working Papers of BETA from Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg

Abstract: Why do coastal located African countries seem more energies consuming? Do institutional and geographical factors matter to energy consumption as in the case of economic growth? Are there any spatial spillovers in primary energy use in Sub-Saharan Africa? To answer these questions which have been surprisingly few addressed in the existing literature, we empirically assess the link between energy use and economic growth in SSA, exploiting spatial data analysis methods. Our empirical results highlight the existence of positive spatial spillovers in primary energy use. We also derive factors (income, population dynamics and urbanization) explaining why coastal located countries are more energy intensive than inland ones. Furthermore, good political institutions encourage energy consumption, connoting a two side of the same coin phenomenon. Globally, our results impel African countries to develop alternative energies strategies and to deploy energy management policies, since increases in the demand for energies and related environmental consequences are expected in a near future.

Keywords: Energy; institutions; locational and spatial effects; development. (search for similar items in EconPapers)
JEL-codes: C23 O55 Q43 Q56 (search for similar items in EconPapers)
Date: 2018
New Economics Papers: this item is included in nep-afr, nep-ene, nep-geo and nep-ure
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Journal Article: Institutions and Geography: A "Two Sides of the Same Coin" Story of Primary Energy Use in Sub-Saharan Africa (2021) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:ulp:sbbeta:2018-27

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