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Income Elasticities Of Electric Power Consumption: Evidence From African Countries, 1971-2002

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  • Jaunky, V.C.

Abstract

The paper examines the relationship between electric power consumption and real GDP per capita for 16 African countries over the period 1971-2002. Bi-directional causality is found and all tests support the existence of a long run relationship. The short run income elasticity of electric power consumption (YEEPC) is estimated to be 0.39 while the long run elasticities are 0.70 and 0.76 when employing the FMOLS and DOLS respectively. Additionally, YEEPC is found to be pro-cyclical.

Suggested Citation

  • Jaunky, V.C., 2007. "Income Elasticities Of Electric Power Consumption: Evidence From African Countries, 1971-2002," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 7(2), pages 25-50.
    • Handle: RePEc:eaa:eerese:v:7:y2007:i:7_8
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    Cited by:

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    More about this item

    Keywords

    Electric power consumption; panel causality; panel cointegation; business cycles; Africa;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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