How energy consumption affects economic development in select African countries

The purpose of this study is to examine the causality between economic development (GDP), oil and gas consumption and in the case of eight countries over the period of 1980-2011. This study used the fully modified OLS. The findings support the conservative hypothesis; there is a relationship of causality going of the energy to the economic growth for the group countries except South Africa. The effect of oil and gas varies from a country to another one. The results provide evidence of feedback causality in Tunisia and Egypt.