Journal
ENERGY SOURCES PART B-ECONOMICS PLANNING AND POLICY
Volume 5, Issue 4, Pages 400-408Publisher
TAYLOR & FRANCIS INC
DOI: 10.1080/15567240802534250
Keywords
Granger-causality; non-renewable energy; real output; renewable energy; Toda-Yamamoto
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Funding
- Institute for Regulatory Policy Studies at Illinois State University
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This study examines the causal relationship between renewable and non-renewable energy consumption by sector and real Gross Domestic Product (GDP) in the US using annual data from 1949 to 2006. The Toda-Yamamoto long-run causality tests reveal the absence of Granger-causality between commercial and industrial renewable energy consumption and real GDP, respectively. Bidirectional Granger-causality exists between commercial and residential non-renewable energy consumption and real GDP, respectively. Finally, the results indicate unidirectional causality from residential renewable energy consumption and industrial non-renewable energy consumption, respectively to and real GDP.
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