Does financial development increase energy consumption? The role of industrialization and urbanization in Tunisia

Energy Policy

Volumn 40, Issue 1, 2012, Pages 473-479

  Shahbaz, Muhammad ^a   Lean, Hooi Hooi ^b  

^a COMSATS Institute of Information Technology   (Pakistan)

^b SCHOOL OF PHYSICS   (Malaysia)

Author keywords

Economic growth; Energy consumption; Financial development

Indexed keywords

ECONOMIC AND SOCIAL EFFECTS; ENERGY UTILIZATION; INVESTMENTS;

AUTO-REGRESSIVE; BOUNDS TESTING APPROACHES; ECONOMIC ACTIVITIES; ECONOMIC GROWTHS; FINANCIAL DEVELOPMENT; FINANCIAL SYSTEM; GRANGER CAUSALITY TEST; POLICY MAKERS;

INDUSTRIAL ECONOMICS;

ECONOMIC ACTIVITY; ECONOMIC GROWTH; ENERGY MARKET; ENERGY POLICY; ENERGY USE; INDUSTRIALIZATION; REGRESSION ANALYSIS; STOCK MARKET; URBANIZATION;

TUNISIA;

EID: 84855749375     PISSN: 03014215     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.enpol.2011.10.050     Document Type: Article

References (63)

1. Abu-Bader, S., Abu-Qarn, A.S., 2008. Financial development and economic growth: the Egyptian experience. Journal of Policy Modeling 30, 887-898.
2. Altinay, G., Karagol, E., 2005. Electricity consumption and economic growth: evidence from Turkey. Energy Economics 27, 849-856.
3. Altunbas, Y., Kapusuzoglu, A., 2011. The causality between energy consumption and economic growth in United Kingdom. Economic Research 9, 330-335.
4. Ang, J.B., 2008. Economic development, pollutant emissions and energy consumption in Malaysia. Journal of Policy Modeling 30, 271-278.
5. Apergis, N., Payne, J.E., 2009a. Energy consumption and economic growth in Central America: evidence from a panel cointegration and error correction model. Energy Economics 31, 211-216.
6. Apergis, N., Payne, J.E., 2009b. Energy consumption and economic growth: evidence from the Commonwealth of Independent States. Energy Economics 31, 641-647.
7. Apergis, N., Payne, J.E., 2010. Energy consumption and growth in South America: evidence from a panel error correction model. Energy Economics 32, 1421-1426.
8. Aqeel, A., Butt, M.S., 2001. The relationship between energy consumption and economic growth in Tunisia. Asia-Pacific Development Journal 8, 101-110.
9. Arestis, P., Stein, H., 2005. An institutional perspective to finance and development as an alternative to financial liberalization. International Review of Applied Economics 18, 381-398.
10. Bairer, S.L., Dwyer Jr, G.P., Tamura, R., 2004. Does opening a stock exchange increase economic growth? Journal of International Money and Finance 23, 311-331.
11. Bannerjee, A., Dolado, J., Mestre, R., 1998. Error-correction mechanism tests for cointegration in single equation framework. Journal of Time Series Analysis 19, 267-283.
12. Bartleet, M., Gounder, R., 2010. Energy consumption and economic growth in New Zealand: results of trivariate and multivariate models. Energy Policy 38, 3505-3517.
13. Bascom, W.O., 1994. The Economics of Financial Reform in Developing CountriesMacmillan, London.
14. Beakert, G., Harvey, C.R., 2000. Foreign speculators and emerging equity markets. Journal of Finance 52, 565-614.
15. Beakert, G., Harvey, C.R., Lumsdaine, R.L., 2002. Dating the integration of world equity markets. Journal of Financial Economics 65, 203-247.
16. Beakert, G., Harvey, C.R., Lundblad, C., 2001. Emerging equity markets and economic development. Journal of Development Economics 66, 465-504.
17. Beakert, G., Harvey, C.R., Lundblad, C., 2005. Does financial liberalization spur growth? Journal of Financial Economics 77, 3-55.
18. Belloumi, M., 2009. Energy consumption and GDP in Tunisia: cointegration and causality analysis. Energy Policy 37, 2745-2753.
19. Boulila, G., Trabelsi, M., 2004. The causality issues in the finance and growth nexus: empirical evidence from Middle East and North African Countries. Review of Middle East Economics and Finance 2, 123-138.
20. Bowden, N., Payne, J.E., 2009. The causal relationship between US energy consumption and real output: a disaggregated analysis. Journal of Policy Modeling 31, 180-188.
21. Chontanawata, J., Huntb, L.C., Pierse, R., 2008. Does energy consumption cause economic growth? Evidence from a systematic study of over 100 countries. Journal of Policy Modeling 30, 209-220.
22. Claessens, S., Laeven, L., 2004. What drives bank competition? Some international evidence?. Journal of Money, Credit and Banking 36, 563-583.
23. DeJong, D.N., Nankervis, J.C., Savin, N.E., Whiteman, C.H., 1992. Integration versus trend stationarity in time series. Econometrica 60, 423-433.
24. Dow, S., 1996. European monetary integration, endogenous credit creation and regional economic development. In: Vence-Deza, X., Metcalfe, J. (Eds.), Wealth from Diversity: Innovation and Structural Change and Finance for Regional Development in Europe, Kluwer, pp. 293-306.
25. Fung, H.K., 2009. Financial development and economic growth: convergence or divergence? Journal of International Money and Finance 28, 56-78.
26. Ghosh, S., 2002. Electricity consumption and economic growth in India. Energy Policy 30, 125-129.
27. Halicioglu, F., 2007. Residential electricity demand dynamics in Turkey. Energy Economics 29, 199-210.
28. Harris, R., Sollis, R., 2003. Applied Time Series Modeling and Forecasting. Wiley, West Sussex.
29. Islam, F., Shahbaz, M., Alam, M., 2011. Financial Development and Energy Consumption Nexus in Malaysia: A Multivariate Time Series Analysis. MPRA Paper 28403, University Library of Munich, Germany.
30. Jiang, W., Gao, W., 2007. The Impact of Industrialization on China's Energy Consumption. School of City Development, University of Jinan, Jinan, China.
31. Kaminsky, G., Schmukler, S., 2003. Short-run Pain, Long-run Gain: The Effects of Financial Liberalization. NBER Working Paper No. 9787.
32. Kaplan, M., Ozturk, I., Kalyoncu, 2011. Energy consumption and economic growth in Turkey: cointegration and causality analysis. Romanian Journal of Economic Forecasting 2, 31-41.
33. Karanfil, F., 2008. Energy consumption and economic growth revisited: does size of underground economy matter? Energy Policy 36, 3019-3025.
34. Karanfil., F., 2009. How many times again will we examine the energy-income nexus using a limited range of traditional econometric tools? Energy Policy 36, 3019-3025.
35. King, R.G., Levine, R., 1993. Finance and growth: Schumpeter might be right. Quarterly Journal of Economics 108, 717-738.
36. Kraft, J., Kraft, A., 1978. On the relationship between energy and GNP. Journal of Energy and Development 3, 401-403.
37. Lee, C.C., Chang, C.P., 2008. Energy consumption and economic growth in Asian economies: a more comprehensive analysis using panel data. Resources and Energy Economics 30, 50-65.
38. Levine, R., 1996. Financial Development and Economic Growth: Views and Agenda. Policy Research Working Paper Series 1678, The World Bank.
39. Lucas, R.E., 1988. On the mechanism of economic development. Journal of Monetary Economics 22, 3-42.
40. Lui, Y., 2009. Exploring the relationship between urbanisation and energy consumption in China using ARDL (autoregressive distributed lag) and FDM (factor decomposition model. Energy 34, 1846-1854.
41. Lütkepohl, H., 1982. Non-causality due to omitted variables. Journal of Econometrics 19, 367-378.
42. Mankiw, N.G., Scarth, W., 2008. Macroeconomics: Third Canadian EditionWorth Publishers, New York.
43. McKinnon, R.I., 1973. Money and Capital in Economic DevelopmentBrookings Institution, Washington, DC.
44. Minier, J., 2009. Opening a stock exchange. Journal of Development Economics 90, 135-143.
45. Mishra, V., Sharma, S.S., Smyth, R., 2009. Is economic development export-led or import-led in the Pacific Island Countries? Evidence from panel data models. Pacific Economic Bulletin 25, 46-63.
46. Morimoto, R., Hope, C., 2004. The impact of electricity supply on economic growth in Sri Lanka. Energy Economics 26, 77-85.
47. Naceur, S.B., Samir, G., 2007. Stock markets, banks, and economic growth: empirical evidence from the MENA region. Research in International Business and Finance 21, 297-315.
48. Narayan, P.K., 2005. The saving and investment nexus for China: evidence from cointegration tests. Applied Economics 17, 1979-1990.
49. Ng, S., Perron, P., 2001. Lag length selection and the construction of unit root test with good size and power. Econometrica 69, 1519-1554.
50. Odhiambo, N.M., 2009. Energy consumption and economic growth nexus in Tanzania: an ARDL bounds testing approach. Energy Policy 37, 617-622.
51. Ozturk, I., Acaravci, A., 2010. The causal relationship between energy consumption and GDP in Albania, Bulgaria, Hungary and Romania: evidence from ARDL bound testing approach. Applied Energy 87, 1938-1943.
52. Ozturk, I., Aslan, A., Kalyoncu, H., 2010. Energy consumption and economic growth relationship: evidence from panel data for low and middle income countries. Energy Policy 38, 4422-4428.
53. Pesaran, M.H., Shin, Y., Smith, R., 2001. Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics 16, 289-326.
54. Robinson, J., 1952. The generalization of the general theory. In: The Rate of Interest and Other Essays. MacMillan, London.
55. Rogoff, K., 2004. Extending the limits of global financial integration. Journal of Policy Modeling 26, 519-523.
56. Sadorsky, P., 2010. The impact of financial development on energy consumption in emerging economies. Energy Policy 38, 2528-2535.
57. Shahbaz, M., Islam, F., Islam, M.M., 2010. The impact of financial development on energy consumption in Pakistan: evidence from ARDL bounds testing approach to cointegration. In: Proceedings of the Second International Conference on the Role of Social Sciences and Humanities in Engineering (ICoHSE) 2010, 12-14 November 2010, Bayview Beach Resort, Penang, Malaysia.
58. Shrestha, M., Chowdhury, K., 2007. Testing financial liberalization hypothesis with ARDL modeling approach. Applied Financial Economics 17, 1529-1540.
59. Stern, D.I., 2000. A multivariate cointegration analysis of the role of energy in the U.S. macroeconomy. Energy Economics 22, 267-283.
60. Stern, N., 1989. The economics development: a survey. Economic Journal 100, 597-685.
61. Stiglitz, J., 2000. Capital market liberalization, economic growth, and instability. World Development 28, 1075-1086.
62. Wolde-Rufael, Y., 2009. Energy consumption and economic growth: the experience of African countries revisited. Energy Economics 31, 217-224.
63. Yucel, F., 2009. Causal relationships between financial development, trade openness and economic growth: the case of Turkey. Journal of Social Sciences 5, 33-42.