Energy consumption and economic growth in Algeria: an empirical study using the ARDL approach (1980 - 2018)

ZAIDI Abdelyamine , MERZOUG Slimane

  • Abdelyamine ZAIDI Economics & Development Laboratory ,University of Bejaia, Algeria
  • Slimane MERZOUG Economics & Development Laboratory ,University of Bejaia, Algeria
Keywords: Energy consumption, GDP, economic growth, ARDL model, Algeria

Abstract

The article examines the causal relationship between energy consumption and economic growth in Algeria for the period 1980 to 2018. a significant energy consumption does not lead to an increase in GDP since the latter would depend more on the export of hydrocarbons in the raw state and not on an economic dynamic characterized by energy consumption The results of the ARDL model show that energy consumption is completely decorrelated from GDP growth and that the consumption of energy industries and gross energy exports explain growth better. In addition, the results show that causality tests indicate the presence of a bidirectional causal relationship between energy consumption and economic growth.

Published
2022-10-09
How to Cite
ZAIDIA., & MERZOUGS. (2022). Energy consumption and economic growth in Algeria: an empirical study using the ARDL approach (1980 - 2018). Journal of Economic Growth and Entrepreneurship , 5(3), 53-63. https://doi.org/10.5281/10.5281/zenodo.4482060