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A Panel VAR Approach of the Relationship among Economic Growth, CO2 Emissions, and Energy Use in the ASEAN-6 Countries

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  • Cosimo Magazzino

    (Department of Political Sciences, Roma Tre University, Via G. Chiabrera 199, 00145, Rome (RM), Italy.)

Abstract

The paper analyses the relationship among economic growth, carbon dioxide emissions, and energy use for six ASEAN countries over the 1971-2007 years. Using a panel VAR technique, a 3- variable VAR is estimated. Empirical findings show that the response of economic growth to energy use is positive and statistically significant. The forecast errors in real per capita GDP are mainly due to uncertainty in GDP itself and energy use emissions. The error variances in the carbon dioxide emissions are sensible to disturbances both in the GDP and in CO2 equations. While the errors in predicting the energy use are sensitive to disturbances in its own equation: after ten steps. Thus, for the estimated sample, these results reinforced the VAR and IRFs analyses, suggesting that for this panel the growth hypothesis holds

Suggested Citation

  • Cosimo Magazzino, 2014. "A Panel VAR Approach of the Relationship among Economic Growth, CO2 Emissions, and Energy Use in the ASEAN-6 Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 4(4), pages 546-553.
    • Handle: RePEc:eco:journ2:2014-04-05
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    More about this item

    Keywords

    economic growth; CO2 emissions; energy use; ASEAN; panel data;
    All these keywords.

    JEL classification:

    • B22 - Schools of Economic Thought and Methodology - - History of Economic Thought since 1925 - - - Macroeconomics
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • N55 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Asia including Middle East
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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