Energy Consumption and Economic Growth: Evidence from Vietnam

Authors

  • Ha Minh Nguyen Ho Chi Minh City Open University
  • Ngoc Hoang Bui Graduate School, Ho Chi Minh City Open University, University of Labour and Social Affairs
  • Duc Hong Vo Business and Economics Research Group, Ho Chi Minh City Open University
  • Michael McAleer Department of Finance, Asia University

DOI:

https://doi.org/10.6000/1929-7092.2019.08.30

Keywords:

Energy consumption, renewable and sustainable energy, economic growth, economic development, ARDL, Granger causality.

Abstract

The importance of non-renewable, renewable and sustainable energy sources and energy consumption in the economic development strategy of a country is undeniable. The purpose of the paper is to investigate the impacts of energy consumption on the economic growth of Vietnam during the 1980-2014 period. By applying the Autoregressive Distributed Lag (ARDL) model of Pesaran et al. (2001), and the Granger causality test of Toda and Yamamoto (1995), the empirical results provide evidence that electricity consumption has positive impacts on Vietnam's economic growth in both the short run and long run. For public policy prescriptions, the empirical evidence suggests that an exploration of new sources of renewable and sustainable energy is essential for long run economic development.

Downloads

Published

2019-07-02

Issue

Vol. 8 (2019)

Section

Articles

License

Policy for Journals/Articles with Open Access

Authors who publish with this journal agree to the following terms:

  • Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.

  • Authors are permitted and encouraged to post links to their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work

Policy for Journals / Manuscript with Paid Access

Authors who publish with this journal agree to the following terms:

  • Publisher retain copyright .

  • Authors are permitted and encouraged to post links to their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work .