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Output, Electricity Consumption And Exports In Nigeria And Ghana: Evidence From Multivariate Causality Test

  • L.Oladele ODERINDE
  • Wakeel.A. ISOLA
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    This paper investigated the causality relationship between electricity consumption and output performance in Nigeria and Ghana. We used annual data series from 1970 to 2006 to examine the causal relationship between output per worker, electricity consumption per worker, primary exports per worker, and capital per worker in a multivariate model for Nigeria and Ghana. Bounds testing approach for cointegration relationship and the Granger causality test due to Toda and Yamamoto (1995) and Dolado and Lutkepohl (1996) were employed. The results indicate no causality in Nigeria but there is causality only from output to electricity consumption in Ghana.

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    Article provided by Euro-American Association of Economic Development in its journal Applied Econometrics and International Development.

    Volume (Year): 11 (2011)
    Issue (Month): 2 ()

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    Handle: RePEc:eaa:aeinde:v:11:y:2011:i:2_11
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    1. Stern, David I., 2000. "A multivariate cointegration analysis of the role of energy in the US macroeconomy," Energy Economics, Elsevier, vol. 22(2), pages 267-283, April.
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