Cointegration analysis with structural changes between consumption and economic growth in China

In order to investigate the existence of a stable long-run equilibrium relationship between economic growth and consumption in China, the relationship between the gross domestic product （GDP） and consumption in China was investigated by the cointegration analysis method. Using the Engle-Granger （EG） test and considering the possibility of structural changes, the impact of external economic shocks on the long-run equilibrium relationship between economic growth and consumption in China was analyzed. Analysis results show that without considering structural changes, the EG test cannot detect cointegration in the series subjected to structural changes; in considering structural changes, cointegration is successfully detected by specifying the dummy variable. In addition, the error correction models were constructed in different periods. This study verifies the existence of a long-run equilibrium relationship between economic growth and consumption in China, and this relationship has significantly changed in 1989 and 1997, respectively.

Exploring the impact of economic growth and energy consumption on SO_(2) emissions in China based on the Environmental Kuznets Curve hypothesis

This study aims to analysis the influence of economic growth(EG)and energy consumption(EC)on sulfur dioxide emissions(SE)in China.Accordingly,this study explores the link between EG,EC,and SE for 30 provinces in China over the span of 2000-2019.This study also analyzes cross-sectional dependence tests,panel unit root tests,Westerlund panel cointegration tests,Dumitrescu-Hurlin(D-H)causality tests.According to the test results,there is an inverted U-shaped association between EG and SE,and the assumption of the Environmental Kuznets Curve(EKC)is verified.The signs of EG and EC in the fixed effect(FE)and random effect(RE)methods are in line with those in the dynamic ordinary least squares(DOLS),fully modified ordinary least squares(FMOLS)and autoregressive distributed lag(ARDL)estimators.Moreover,the results verified that EC can obviously positive impact the SE.To reduce SE in China,government and policymakers can improve air quality by developing cleaner energy sources and improving energy efficiency.This requires the comprehensive use of policies,regulations,economic incentives,and public participation to promote sustainable development.

The relationship between energy consumption and economic growth and the development strategy of a low-carbon economy in Kazakhstan

Fossil energy is the material basis of human survival, economic development and social progress. The relationship between energy consumption and economic growth is becoming increasingly close. However, energy consumption is the major source of greenhouse gases, which can significantly affect the balance of the global ecosystem. It has become the common goal of countries worldwide to address climate change, reduce carbon dioxide emissions, and implement sustainable development strategies. In this study, we applied an approximate relationship analysis, a decoupling relationship analysis, and a trend analysis to explore the relationship between energy consumption and economic growth using data from Kazakhstan for the period of 1993-2010. The results demonstrated： （1） the total energy consumption and GDP in Kazakhstan showed a ＂U＂-type curve from 1993 to 2010. This curve was observed because 1993-1999 was a period during which Kazakhstan transitioned from a republic to an independent country and experienced a difficult transition from a planned to a market economy. Then, the economic system became more stable and the industrial production increased rapidly because of the effective financial, monetary and industrial policy support from 2000 to 2010. （2） The relationships between energy con- sumption and carbon emissions, economic growth and energy exports were linked; the carbon emissions were mainly derived from energy consumption, and the dependence of economic growth on energy exports gradually increased from 1993 to 2010. Before 2000, the relationship between energy consumption and economic growth was in a recessional decoupling state because of the economic recession. After 2000, this relationship was in strong and weak decoupling states because the international crude oil prices rose and energy exports increased greatly year by year. （3） It is forecasted that Kazakhstan cannot achieve its goal of energy consumption by 2020. Therefore, a low-carbon economy is the best strategic choice to address climate change from a global perspective in Kazakhstan. Thus, we proposed strategies including the improvement of the energy consumption structure, the development of new energy and renewable energy, the use of cleaner production technologies, the adjustment and optimization of the industrial structure, and the expansion of forest areas.

The relationship between energy consumption, economic growth and carbon dioxide emissions in Pakistan

Developing countries are facing the problem of environmental degradation.Environmental degradation is caused by the use of non-renewable energy consumptions for economic growth but the consequences of environmental degradation cannot be ignored.This primary purpose of this study is to investigate the nexus between energy consumption,economic growth and CO_(2) emission in Pakistan by using annual time series data from 1965 to 2015.The estimated results of ARDL indicate that energy consumption and economic growth increase the CO_(2) emissions in Pakistan both in short run and long run.Based on the estimated results it is recommended that policy maker in Pakistan should adopt and promote such renewable energy sources that will help to meet the increased demand for energy by replacing old traditional energy sources such as coal,gas,and oil.Renewable energy sources are reusable that can reduce the CO_(2) emissions and also ensure sustainable economic development of Pakistan.

The Relationship between Energy Consumption and Economic Growth in the USA: A Non-Linear ARDL Bounds Test Approach

We study the relationship between energy consumption and economic growth in the case of USA by using an asymmetric ARDL bounds test approach to achieve the actual model. The quarterly data set covers the period of 1973:1- 2013:4. The findings indicate that the effect of energy consumption is asymmetric in the long term but not in the short term. In the long run, the effect of negative component of energy consumption on economic growth is small and statistically insignificant. The coefficient of the positive component of energy consumption is found about 0.9 and statistically significant at 1% level. We conclude that energy saving policies such as technological progress and organizational rearrangements may have the dimmer effect for the impact of a negative component of energy consumption and the booster effect for impact of the positive component of energy consumption. Thus, energy saving policy should be tightly followed by the goal of high economic growth.

Empirical Analysis on the Relations between Rural Residents' Consumption and Economic Growth——A Case of Liaoning Province

Liaoning is a granary province with a large agricultural population and great market potential. Expanding rural residents' consumption becomes a necessity for enlarging domestic demand, solving three agriculture problems and promoting sustainable and rapid economic development. The research shows that since invigorating old industrial base in Liaoning, the contribution rate of rural residents' consumption to economic motivation is low and unstable, which has become one of the choke points for the development of economy. By using the grey correlation method, the influences of rural residents' consumption in different periods to GDP per capita are analyzed, the results show that the consumption level of rural residents were increasing, but their contribution rate on economic growth showed the descending tend. The residential expenses stay in the major position of consumption expenses; the education and entertainment products and service consumption play an important role; the growth of transportation and telecommunication is slow; the expenses on medical care are low and its contribution rate on economic growth is relatively weak. The countermeasures on developing rural economy, increasing rural residents' income, improving rural consumption environment, accelerating rural infrastructure construction, constructing and perfecting rural social security system and expanding rural consumption credit market are put forward to expand rural residents' consumption demand and realize the sustainable development of economy.

Causality Relationship between Energy Consumption and Economic Growth in Brazil

This study has investigated the relationship between energy consumption and economic growth in Brazil during the period of 1980-2008. The co-integration test indicates a long-run equilibrium relationship between variables, andenergy consumption appears to be real GDP elastic. This elasticity suggests that energy consumption has a great positive influence on changes in income. The causality results from the error correction model reveal a unidirectional short-run causality from energy consumption to economic growth and a bidirectional strong causality between them. These findings suggest that Brazil should adopt a dual strategy of increasing investment in energy infrastructure, and stepping up energy conservation policies to reduce any unnecessary waste of energy, in order to avoid having a negative effect on economic growth by reducing energy consumption. In contrast, energy conservation is expected to increase the efficient use of energy and, therefore, enhance economic growth.

A Causality Analysis of Coal Consumption and Economic Growth for China and India

China and India are the two countries with the strongest economic growth in the world. Meanwhile they consume much of the global coal to fuel their economic development. With coal burning as a major factor contributing to global greenhouse gas emissions, China and India are confronted with a dilemma of economic growth and environment protection. Will coal consumption reduction cause economic shocks? Is there a causal relationship between coal consumption and economic growth in China and India? In this paper Granger causality tests were used to examine the relationship between coal consumption and GDP in China and India, using data for the period from 1965 to 2006. It was found that a unidirectional causality from GDP to coal consumption existed in China while a unidirectional causality from coal consumption to GDP did in India. Therefore, developing cleaner and more efficient technologies is essential to reduce their CO2 emissions to reach sustainable development.

Energy consumption,emissions and economic growth in Bahrain

This study examines the Granger causality relationships between economic growth,energy consumption and emissions,from 1980 to 2007 in Bahrain,controlling for capital and urban population using Toda and Yamamoto's approach.It was found that there is unilateral causality which runs from urban population,economic growth,capital and energy consumption to environment.Further,we found strong support for causality running from economic growth to energy consumption,emissions and capital.The existence of these linkages suggests that the government of Bahrain may pursue energy efficiency strategies and carbon emissions reduction policy in the long run without impeding economic growth.Additionally,the long run pursuit of high economic growth given sustained increases in energy efficiency may also reduce CO_2 emissions intensity per unit of her GDP.

Does economic growth stimulate energy consumption?New evidence from national and regional levels in China

A detailed investigation of the nexus between economic growth and energy use is imperative for formulating sustainable development policies.In this study,we examine panel cointegration and causality relations among economic growth,energy use,capital stock,and labor in 30 Chinese provinces between 2000-2019.We conduct a comprehensive empirical analysis based on panel modeling and a neoclassical production function.The findings of the second-generation panel unit root and co-integration tests reveal that these variables have long term co-integration linkages.We then perform a panel cointegration estimation using the fully modified ordinary least squares technique and find that total energy consumption,electricity consumption,capital stock,and labor significantly influence economic growth at the national and regional levels in China.Moreover,the outcomes of the Dumitrescu-Hurlin causality test indicate the existence of a two-way causal nexus between economic output and total energy consumption at the national level,but only a causal link from GDP to total energy use in the eastern and central regions.Conversely,a causality from total energy use to economic output is identified in the western region.Finally,we provide policy implications for the sustainable development of both energy and the economy at the national and regional levels.

The Prediction of Carbon Emissions Demands in India under the Balance Economic Growth Path

Facing the challenge of climate change, forecasts of energy demand and carbon emissions demand are a key requirement for India to ensure energy security and the balance economic growth. The authors calculate the optimal economic growth under the balance economic growth path from 2009 to 2050 in India based on the economy-carbon dynamic model. Combination of Intergovernmental Panel on Climate Change (IPCC) 2006 edition of the formula of carbon emissions, energy intensity model, and population model, it gets the carbon emissions demand caused by energy consumption for time span 1980-2008. Then, it estimates the energy consumption demand and carbon emissions demand under the balance economic growth path from 2009 to 2050. The results show that the cumulative amount of energy demand and carbon emissions demand in India for the time span 2009 to 2050, are 44.65 Gtoe and 36.16 Gt C, separately. The annual demand of energy consumption and carbon emissions for India show an inverted U curve from 2009 to 2050. The demand of energy consumption and carbon emissions will peak in 2045, and the peak values are 1290.74 Mtoe and 1045.98 Mt C. Furthermore, India’s per capita energy consumption demand and carbon emissions demand also appear maximum values, which are separately 0.81 toe and 0.65 t C.

Revisiting the nexus between fiscal decentralization and CO_(2)emissions in South Africa:fresh policy insights

The argument over fiscal decentralization and carbon dioxide emission(CO_(2))reduction has received much attention.However,evidence to back this claim is limited.Economic theory predicts that fiscal decentralization affects environmental quality,but the specifics of this relationship are still up for debate.Some scholars noted that fiscal decentralization might lead to a race to the top,whereas others contended that it would result in a race to the bottom.In light of the current debates in environmental and development economics,this study aims to provide insight into how this relationship may function in South Africa from 1960 to 2020.In contrast to the existing research,the present study uses a novel dynamic autoregressive distributed lag simulation approach to assess the positive and negative changes in fiscal decentralization,scale effect,technique effect,technological innovation,foreign direct investment,energy consumption,industrial growth,and trade openness on CO_(2)emissions.The following are the main findings:(i)Fiscal decentralization had a CO_(2)emission reduction impact in the short and long run,highlighting the presence of the race to the top approach.(ii)Economic growth(as represented by the scale effect)eroded ecological integrity.However,its square(as expressed by technique effect)aided in strengthening ecological protection,validating the environmental Kuznets curve hypothesis.(iii)CO_(2)emissions were driven by energy utilization,trade openness,industrial value-added,and foreign direct investment,whereas technological innovation boosted ecological integrity.Findings suggest that further fiscal decentralization should be undertaken through further devolution of power to local entities,particularly regarding environmental policy issues,to maintain South Africa’s ecological sustainability.South Africa should also establish policies to improve environmental sustainability by strengthening a lower layer of government and clarifying responsibilities at the national and local levels to fulfill the energy-saving functions of fiscal expenditures.

Prediction and Analysis of Chinese Rural Households' Consumption Level Based on the ARIMA Model

By using the software SAS9.2 and the relevant data of consumption level of rural residents in China from 1952 to 2008,the ARIMA model is established.The model is used to analyze and forecast the time series of the consumption level of Chinese rural residents.The results show that in the near future,the consumption level of Chinese rural residents will be further raised.In 2012,the level will break through per capita 5 000 yuan,almost 100 times more than that in the primary time period.But consumption level does not equal to living standard.To let farmers lead a good life,the government should follow the objective laws;take the overall situation into consideration;coordinate the relations among farmers' consumption level,national subsidies and farmers' production enthusiasm.Therefore,The paper suggests that the historical and objective factors should be attached more importance to.Besides,raising farmers' income and allaying farmers' fear were effective measures in developing the consumptive potential of rural market and promoting the economic sustainable development.

Elasticity Ratio of Resource Consumption and the Resource Consumption

Today the resources are becoming scarcer, which should not be regarded as unexhausted any more. Correspondingly, the production would be constrained by the scarcity of resources clearly. Then the economic researchers would pay much more attention to reducing the consumption of natural resources in the future. Therefore this paper brings foreword the conception of elasticity ratio of resource consumption based on the concept of elasticity and analyzes the relationship between the parameters. For the certain relationships between the elasticity ratio of resource consumption and resource consumption, this paper will try to reveal, to keep economy growing while resource consumption reducing, what conditions should be met as to the relationships among resource productivity, its growth rate, energy saving efficiency, economic growth rate and elasticity ratio of resource consumption. This paper proves the relationship between the China＇s energy consumption and economy growth using statistic data from 1978 to 2003.

贵州省能源消费与经济增长关系的实证分析

能源是影响经济增长的战略性因素,能源的发展深深地影响着经济总量的增加以及经济增长速度。本文以贵州省1978年至2021年的相关数据作为样本,进行单位根检验、协整检验以及格兰杰因果关系检验,并使用其他方法对样本进行实证研究。研究结果表明,贵州省的经济增长是贵州省能源消费增长的主要原因,二者是相辅相成的。误差校正模型(ECM)解释了该序列的短期波动关系。最后,根据研究结果,结合贵州省的实际情况对贵州省能源发展给出相关的对策建议。

Energy Consumption and Economic Growth Nexus in Bangladesh

The empirical investigation that examines the dynamics including the interaction between consumption of energy and economic progress has long been assessed.However,the interaction of these two in developing countries in general and Bangladesh,in particular,is a less explored subject.Hence,with this notion,this study examined the causal relationship among economic growth and energy consumption in Bangladesh.For this purpose,the study used energy consumption,gross domestic product(GDP),labor force,and capital data from 1981 to 2017 from different sources and data is analyzed by augmented Dickey-Fuller(ADF)unit root test,Johansen co-integration test and Granger test of causality.Results determine that energy consumption and economic growth have long term bi-directional relationship.The econometric model is estimated using generalized least squares(GLS)model.It is concluded that,consumption of energy and economic growth positively correlated and economic development highly depend on energy consumption in Bangladesh.

Electricity Consumption and Economic Growth in the Beijing-Tianjin-Hebei Agglomeration of China

Nowadays, increased attention is being paid to the causal relationship between electricity consumption and economic growth. This paper attempts to examine the causal relationship between electricity consumption and economic growth for China＇s Beijing-Tianjin-Hebei agglomeration, using annual data covering the period 1982- 2008. In this study, unit root tests, the Johansen co-integration test, and the Granger causality test are applied. The empirical results indicate that the two series （electricity consumption and economic growth） of the three locales （Beijing, Tianjin, and Hebei） are non-stationary. But first differences of the two series are stationary. The results of the Johansen co-integration test indicate that electricity consumption and economic growth are co-integrated in Hebei and Tianjin while this is not the case in Beijing. The Granger causality test implies that there is causality running from electricity consumption to economic growth in all of the three locales. Causality running from economic growth to electricity consumption is found in Hebei and Beijing while this is not the case in Tianjin. This means that an increase in electricity consumption directly affects economic growth and that economic growth also stimulates further electricity consumption in Hebei and Beijing. But in Tianjin, an increase in electricity consumption directly affects economic growth while economic growth cannot affect electricity consumption. These findings can provide useful information for local governments of the three locales to formulate sustainable energy and economic policies. The study is of great significance for circular economy and building a resource-conserving society.

The Impact of Climate Change on China＇s Grain Market and Food Security-- A CGE Model Approach

This paper examines the impact of climate change on China＇s grain production and food security. The research is one of the four studies on future conditions of China＇s food production system under the influence of climate change using numerical simulation methods, carried out under a national 973 project entitled ＂impacts of climate change on food systems in China and its adaptation＂. The other three studies focus on changes in cultivated land area and food production, while this study incorporates their grain yield results into a general equilibrium model to simulate future conditions of the grain market. Our simulation analysis arrives at the impact of climate change by comparing such economic variables as grain production, consumption, and GDP growth rate between a baseline scenario and two climate change scenarios. Our results are summarized as follows： （1） In 2050, the total grain production will reach 689.683 million tons--584.264 million tons of total grain consumption and 42.808 million tons of exports. Without considering losses and inventory demand, in 2050 China＇s grain supply and demand will remain well balanced, with a slight surplus expected. （2） Climate change is expected to benefit China＇s macro economy and individual sectors. In comparison with the baseline scenario of no climate change, real wage, real GDP, investment, household consumption, exports, and other macroeconomic indicators will rise under the climate change scenarios. As far as the agricultural, manufacturing, and service sectors are concerned, production, consumption, imports, and exports will each be favorably affected by climate change. （3） The favorable impact of climate change on China＇s macroeconomy and individual sectors under the high emissions scenario （A2） is stronger than that under the low emissions scenario （B2）. （4） In the grain market, climate change is expected to increase supply, reduce imports, increase supply, and demand; and supply will increase more than demand does. All in all, if taking into the fertilization effect of CO2 account, climate change is expected to strengthen China＇s grain supply and safeguard food security.

Detection on Resources Consumption Drag of Urbanization in China

A unique model of resources consumption drag of urbanization is developed by employing the neo-classical production model and the urbanization relation model. By using this model, it is viable to estimate the resources consumption drag, measured as the reduced speed of urbanization from resources consumption and environmental services. In terms of reduced urbanization process, the aggregated and disaggregated effects from some crucial resources, such as energy, land and water, are calculated and presented. The results show that the drags from energy consumption, land and water in process of China’s urbanization are 0.1061, 0.0036 and 0.1914 percent point respectively and the aggregate drag arrives 0.3010 percent point. With the increasing population and the developing urbanization process in China, the constraints of resources, water and energy in particular cannot be eliminated and the drags will be enhanced and hence the pressure of further urbanization process is still a relatively serious problem.