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Electricity Availability, Human Capital Investment and Sustainable Economic Growth Causality in Sub Sahara Africa: Revisited Evidences

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Listed:
  • Hammed Oluwaseyi Musibau

    (Department of Economics and Management Science, Un versiti Sultan Za nal Abidin, Malaysia,)

  • Suraya Mahmood

    (Department of Economics and Management Science, Un versiti Sultan Za nal Abidin, Malaysia,)

  • Suraya Ismail

    (Department of Economics and Management Science, Un versiti Sultan Za nal Abidin, Malaysia,)

  • Muhammad Aminu Haruna

    (Department of Economics and Management Science, Un versiti Sultan Za nal Abidin, Malaysia,)

  • Muhammad Umair Khan

    (Department of Economics and Management Science, Un versiti Sultan Za nal Abidin, Malaysia,)

Abstract

The paper examines the impact of electricity availabilities proxy by electricity supply, human capital development and the role of institutional qualities on economic growth in Sub-Sahara African countries using a panel data spanning from 1980 to 2016. The study utilized various dynamic panel models (Dynamic Ordinary Least Square, DOLS, PMG, DFE and FMOLS) and several panel unit roots model were adopted to check the degree of integration of the variables. Our empirical results found that electricity consumption, electricity availability and control of corruption have a positive impact on economic growth in SSA countries. However, human capital development has a negatively significant impact on economic growth in SSA countries. A deregulated energy sector is likely to yield smaller net benefits than a regulated market due to nature of African economies due to the level of corruption in the region. We therefore suggest a policy to improving their institutions qualities and build a good political structure to utilities government expenditure on electricity supply and human capital development to ensure economic growth in SSA countries.

Suggested Citation

  • Hammed Oluwaseyi Musibau & Suraya Mahmood & Suraya Ismail & Muhammad Aminu Haruna & Muhammad Umair Khan, 2019. "Electricity Availability, Human Capital Investment and Sustainable Economic Growth Causality in Sub Sahara Africa: Revisited Evidences," International Journal of Energy Economics and Policy, Econjournals, vol. 9(6), pages 222-233.
    • Handle: RePEc:eco:journ2:2019-06-27
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    References listed on IDEAS

    as
    1. Philip Alege & Ayobami Jolaade & Omobola Adu, 2018. "Is there Cointegration between Renewable Energy and Economic Growth in Selected Sub-saharan African Counries?," International Journal of Energy Economics and Policy, Econjournals, vol. 8(4), pages 219-226.
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    4. Jahangir Alam, Mohammad & Ara Begum, Ismat & Buysse, Jeroen & Van Huylenbroeck, Guido, 2012. "Energy consumption, carbon emissions and economic growth nexus in Bangladesh: Cointegration and dynamic causality analysis," Energy Policy, Elsevier, vol. 45(C), pages 217-225.
    5. Akinlo, A.E., 2008. "Energy consumption and economic growth: Evidence from 11 Sub-Sahara African countries," Energy Economics, Elsevier, vol. 30(5), pages 2391-2400, September.
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    Cited by:

    1. Buyung Romadhoni & Akhmad Akhmad, 2020. "Household Electricity Demand in South Sulawesi, Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 10(4), pages 229-233.
    2. Shazia Kousar & Farhan Ahmed & María de las Nieves López García & Nimra Ashraf, 2020. "Renewable Energy Consumption, Water Crises, and Environmental Degradation with Moderating Role of Governance: Dynamic Panel Analysis under Cross-Sectional Dependence," Sustainability, MDPI, vol. 12(24), pages 1-16, December.

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    More about this item

    Keywords

    Electricity availability; Institutional qualities; Human Capital development and Sub-Sahara Africa.;
    All these keywords.

    JEL classification:

    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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