scholarly journals CO-INTEGRATION AND CAUSALITY RELATIONSHIP BETWEEN ENERGY CONSUMPTION AND ECONOMIC GROWTH: FURTHER EMPIRICAL EVIDENCE FOR NIGERIA

2010 ◽  
Vol 11 (1) ◽  
pp. 97-111
Author(s):  
Clement A. U. Ighodaro
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Crude Oil ◽  
Electricity Consumption ◽  
Oil Production ◽  
Conservation Policy ◽  
Oil Consumption ◽  
Gas Utilization ◽  
Crude Oil Production ◽  
Causality Relationship

The Paper re - examined co‐integration and causality relationship between energy consumption and economic growth for Nigeria using data covering the period 1970 to 2005. Unlike previous related study for Nigeria, different proxies of energy consumption (electricity demand, domestic crude oil consumption and gas utilization) were used for the estimation. It also included government activities proxied by health expenditure and monetary policy proxied by broad money supply though; emphasis was on energy consumption. Using the Johansen co‐integration technique, it was found that there existed a long run relationship among the series. It was also found that all the variables used for the study were I(1). Furthermore, unidirectional causality was established between electricity consumption and economic growth, domestic crude oil production and economic growth as well as between gas utilization and economic growth in Nigeria. While causality runs from electricity consumption to economic growth as well as from gas utilization to economic growth, it was found that causality runs from economic growth to domestic crude oil production. Therefore, conservation policy regarding electricity consumption and gas utilization would harm economic growth in Nigeria while energy conservation policy as regards domestic crude oil consumption would not. Santrauka Tyrinejamas energijos suvartojimo ir ekonominio augimo tarpusavio ryšys bei priežastingumas Ni‐gerijoje, remiantis 1970–2005 m. statistiniais duomenimis. Naujai, lyginant su ankstesniais Nigerijos tyrimais, parenkami energijos vartojimo matavimo būdai (elektros energijos paklausa, vietines naftos žaliavos suvartojimas, duju utilizavimas). Straipsnyje atsižvelgiama i socialine ir monetarine valstybes politika, kurios atspindi valstybes gerove. Pritaikius Johansen tarpusavio priklausomybes metodabuvo gauta, kad tarp visu energijos vartojima atspindinčiu rodikliu ir ekonominio augimo yra netiesioginis priežastinis ryšys. Manoma, kad elektros bei dujunaudojimo apribojimas stabdytu Nigerijos ekonomini augima, o naftos žaliavos vartojimo masto mažinimas nepaveiktu tolesnes šalies pletros.

scholarly journals CO-INTEGRATION AND CAUSALITY RELATIONSHIP BETWEEN ENERGY CONSUMPTION AND ECONOMIC GROWTH: FURTHER EMPIRICAL EVIDENCE FOR NIGERIA

2010 ◽  
Vol 11 (1) ◽  
pp. 97-111 ◽  
Author(s):  
Clement A. U. Ighodaro
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Crude Oil ◽  
Electricity Consumption ◽  
Oil Production ◽  
Conservation Policy ◽  
Oil Consumption ◽  
Gas Utilization ◽  
Crude Oil Production ◽  
Causality Relationship

The Paper re - examined co‐integration and causality relationship between energy consumption and economic growth for Nigeria using data covering the period 1970 to 2005. Unlike previous related study for Nigeria, different proxies of energy consumption (electricity demand, domestic crude oil consumption and gas utilization) were used for the estimation. It also included government activities proxied by health expenditure and monetary policy proxied by broad money supply though; emphasis was on energy consumption. Using the Johansen co‐integration technique, it was found that there existed a long run relationship among the series. It was also found that all the variables used for the study were I(1). Furthermore, unidirectional causality was established between electricity consumption and economic growth, domestic crude oil production and economic growth as well as between gas utilization and economic growth in Nigeria. While causality runs from electricity consumption to economic growth as well as from gas utilization to economic growth, it was found that causality runs from economic growth to domestic crude oil production. Therefore, conservation policy regarding electricity consumption and gas utilization would harm economic growth in Nigeria while energy conservation policy as regards domestic crude oil consumption would not. Santrauka Tyrinejamas energijos suvartojimo ir ekonominio augimo tarpusavio ryšys bei priežastingumas Ni‐gerijoje, remiantis 1970–2005 m. statistiniais duomenimis. Naujai, lyginant su ankstesniais Nigerijos tyrimais, parenkami energijos vartojimo matavimo būdai (elektros energijos paklausa, vietines naftos žaliavos suvartojimas, duju utilizavimas). Straipsnyje atsižvelgiama i socialine ir monetarine valstybes politika, kurios atspindi valstybes gerove. Pritaikius Johansen tarpusavio priklausomybes metodabuvo gauta, kad tarp visu energijos vartojima atspindinčiu rodikliu ir ekonominio augimo yra netiesioginis priežastinis ryšys. Manoma, kad elektros bei dujunaudojimo apribojimas stabdytu Nigerijos ekonomini augima, o naftos žaliavos vartojimo masto mažinimas nepaveiktu tolesnes šalies pletros.

scholarly journals Cointegration and Causality Analysis of Dynamic Linkage between Industrial Energy Consumption and Economic Growth in Pakistan

2019 ◽  
Vol 11 (17) ◽  
pp. 4546 ◽  
Author(s):  
Chandio ◽  
Rauf ◽  
Jiang ◽  
Ozturk ◽  
Ahmad
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Electricity Consumption ◽  
Industrial Sector ◽  
Oil Consumption ◽  
Industrial Oil ◽  
Long Run ◽  
Industrial Energy ◽  
Short Run ◽  
Gas Consumption

Energy consumption is a crucial factor to promote industrial sector contribution in an economy for its economic progression. Indeed, Pakistan is an emerging country, but recently adjoining with a very severe deficit of electricity sources. Hence, the industry value added growth leading to economic progression is also fronting inevitable challenges to promote the industry growth. The main objective of the study is to investigate the linkages between industrial sector oil, gas and electricity consumption, and renewable energy consumption with economic development in Pakistan. The findings display evidence of cointegration and a long-run relationship between the consumption of industrial energy and economic growth in Pakistan. The results showed that industrial electricity consumption and industrial gas consumption have a positive and statistically significant impact on economic growth both in the long run and the short run in Pakistan. Industrial oil consumption negatively impacts economic growth in the long run, but positively and statistically significantly impacts economic growth in the short run in Pakistan. Moreover, indications through the vector error correction model (VECM) model confirmed bi-directional relationships of industrial sector oil consumption and economic growth in Pakistan. Furthermore, the uni-directional nexus instituted between economic growth to industrial electricity consumption, industrial gas consumption to industrial electricity consumption, and industrial oil consumption to industrial electricity consumption. The findings uncovered solid interconnections among the studied variables and suggested that the Pakistani government should build a robust policy to diminish the oil, gas, and fossil fuels consumption for electricity production, as a replacement to depend on solar, hydro, wind, and biomass energy sources in Pakistan. Consequently, the government should promote more gas concentrated projects, as these will alleviate the contests of gas dearth and provide it to the industry at cheap prices with ease.

Does crude oil output aid economy boom or curse in Nigeria? An inference from “Dutch disease”

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samuel Oludimu ◽  
Adewale Andrew Alola
Keyword(s):  
Economic Growth ◽  
Crude Oil ◽  
Resource Curse ◽  
Oil Production ◽  
Income Level ◽  
Dutch Disease ◽  
Least Square ◽  
Content Type ◽  
Crude Oil Production ◽  
The Impact

PurposeA reflection on some supposed oil exporting states constantly reminds of the (in) validity of the resource curse hypothesis and environmental consequences of oil exploration. In Africa, especially the case of Nigeria, the argument has remained whether the country's voluminous deposit of crude oil has positively affected the livelihood of the people. The study aims to examine the impact of oil production on the income level in Nigeria.Design/methodology/approachIn this context, the study first examined validity of Dutch disease in Nigeria, thus providing a foundation to further establish the resource curse hypothesis. As such, the impact of crude oil production (CRUDE), square of crude oil production (CRUDESQ), crude oil reserves (RESERVES) and population (POP) on economic growth over the period of 1980–2018 is examined through the combination of autoregressive distributed lag (ARDL), fully-modified ordinary least square (FMOLS) and canonical cointegration regression (CCR) methods.FindingsWhile the study revealed the existence of Dutch disease in Nigeria, the resource curse hypothesis is also valid. However, the study found that the resource curse hypothesis in Nigeria can be over-turned when the CRUDE attains a certain maximum threshold, i.e. when crude oil output is doubled over time. In addition, either of crude RESERVES or oil rent (RENT) is seen as a limiting factor to economic growth while POP poses a positive and desirable impact on the country's economic development.Originality/valueThus, the implication of a U-shaped relationship between oil production and income level is that Nigeria's natural resources exploration could be employed to over-turn the potential of resource curse hypothesis by increasing exploration while the sources of leakages and misappropriation of the oil revenues are deliberately mitigated. Other useful socio-economic policies were proposed for the Government.

What if Russia runs out of own oil resources?

2019 ◽  
pp. 152-160 ◽  
Author(s):  
Vladimir K. Faltsman
Keyword(s):  
Economic Growth ◽  
General Theory ◽  
Crude Oil ◽  
Oil Prices ◽  
Oil Production ◽  
Economic Sanctions ◽  
Proper Solution ◽  
Oil Resources ◽  
Crude Oil Production ◽  
Alternative Sources

For more than half a century the growing dependence of Russia on crude oil production and exports, thus exhausting its national oil resources, has been observed. The country can get caught up in the staples trap — running out of own oil resources, with neither money to finance imports nor national importsubstituting production. So in the coming 25 years Russia is challenged to seek a proper solution, given that oil production will be declining. What is more, Russia will have to address the challenge under pretty tough circumstances, including turbulent oil prices, the burden of economic sanctions and reduction in the volume of employment. Will Russia, as a result, face just another transformation crisis similar to the bitter experience of 1990s? What alternative sources of energy can be found to replace oil? The author is searching for the way to get out of the staples trap and presents an optimistic scenario. Being one of the top oil-producing countries, Russia will be the first to face the depletion of national oil resources, so its experience in elaborating viable ways to overcome oil dependence may be instructive to other oil-producers and contribute to the general theory of economic growth.

Creation of the ‘Internet of things’ in crude oil production

2017 ◽  
Vol 10 ◽  
pp. 120-124
Author(s):  
R.S. Khisamov ◽  
◽  
R.A. Gabdrahmanov ◽  
A.P. Bespalov ◽  
V.V. Zubarev ◽  
...  
Keyword(s):  
Internet Of Things ◽  
Crude Oil ◽  
Oil Production ◽  
The Internet ◽  
Crude Oil Production ◽  
The Internet Of Things

scholarly journals Classical and machine learning modeling of crude oil production in Nigeria: Identification of an eminent model for application

2021 ◽  
Vol 7 ◽  
pp. 3497-3505
Author(s):  
Chukwudi Paul Obite ◽  
Angela Chukwu ◽  
Desmond Chekwube Bartholomew ◽  
Ugochinyere Ihuoma Nwosu ◽  
Gladys Ezenwanyi Esiaba
Keyword(s):  
Machine Learning ◽  
Crude Oil ◽  
Oil Production ◽  
Crude Oil Production

Examination of Iran's Crude Oil Production Peak and Evaluating the Consequences: A System Dynamics Approach

2014 ◽  
Vol 32 (4) ◽  
pp. 673-690 ◽  
Author(s):  
S. H. Hosseini ◽  
H. Shakouri G. ◽  
B. Kiani ◽  
M. Mohammadi Pour ◽  
M. Ghanbari
Keyword(s):  
System Dynamics ◽  
Crude Oil ◽  
Oil Production ◽  
Crude Oil Production
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