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The Impact of Government Effectiveness and Political Stability on Energy Consumption in the Selected MENA Economies

Author

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  • Raad Al-Tal

    (Department of Business Economics, The University of Jordan, Jordan.)

  • Alaaeddin Al-Tarawneh

    (Department of Business Economics, The University of Jordan, Jordan.)

Abstract

This paper examines the impact of the quality governance on the energy sector in the MENA region, particularly, political stability and government effectiveness. Several macroeconomic variables are taken into account in a panel analysis, and the study employs the POLS and Fixed effect approaches to find out if the government's effectiveness and political stability among all governance indicators have a vital role in promoting energy efficiency in MENA. Panel data for the period 2003-2018 are used. The empirical results show he political stability and the effectiveness of government are positively affected the energy consumption for the MENA countries. Moreover, the findings of the study show a negative relationship between energy consumption and economic growth. This situation referred to the unimproved relationship in the MENA region, as literature confirms no relationship exists for some countries in the region.

Suggested Citation

  • Raad Al-Tal & Alaaeddin Al-Tarawneh, 2021. "The Impact of Government Effectiveness and Political Stability on Energy Consumption in the Selected MENA Economies," International Journal of Energy Economics and Policy, Econjournals, vol. 11(2), pages 1-6.
    • Handle: RePEc:eco:journ2:2021-02-1
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    Cited by:

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    2. Elfarra, Barakat & Yasmeen, Rizwana & Shah, Wasi Ul Hassan, 2024. "The impact of energy security, energy mix, technological advancement, trade openness, and political stability on energy efficiency: Evidence from Arab countries," Energy, Elsevier, vol. 295(C).
    3. Mohammed Galal Abdallah Mostafa, 2021. "The Impact of Energy Subsidy Reform on Economic Growth in Egypt Over the Period from 2013 to 2020," International Journal of Energy Economics and Policy, Econjournals, vol. 11(4), pages 31-42.

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    More about this item

    Keywords

    Energy Consumption; Quality Governance; Political Stability; Government Effectiveness; POLS; Fixed Effect; MENA.;
    All these keywords.

    JEL classification:

    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • Q38 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Government Policy (includes OPEC Policy)
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy

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