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A (negative) replication of ‘The relationship between energy consumption, energy prices, and economic growth: Time series evidence from Asian developing countries’ (Energy Economics, 2000)*

* This paper is a replication of an original study

Author

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  • Mann, Janelle
  • Sephton, Peter

Abstract

This paper replicates Asafu-Adjaye (2000) which employs unit root and cointegration tests together with error correction models to investigate the relationships between energy consumption and income for four energy-dependent Asian developing countries using data from 1971 through 1995. This paper finds not only that the results cannot be replicated, but that the results are not robust to alternative estimation procedures that include the simulation of finite sample critical values and the extension to panel unit root, stationarity and cointegration tests which are necessary to improve upon the power properties of the short time series employed by Asafu-Adjaye (2000). The results from the extension of the analysis to more modern time series techniques disprove the original paper's results, with panel cointegration tests finding that the trivariate system (income, energy consumption, and prices) does not follow a long run relationship for India, Indonesia, Thailand, and the Philippines.

Suggested Citation

  • Mann, Janelle & Sephton, Peter, 2019. "A (negative) replication of ‘The relationship between energy consumption, energy prices, and economic growth: Time series evidence from Asian developing countries’ (Energy Economics, 2000)," Energy Economics, Elsevier, vol. 82(C), pages 78-84.
    • Handle: RePEc:eee:eneeco:v:82:y:2019:i:c:p:78-84
    DOI: 10.1016/j.eneco.2018.05.005
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    References listed on IDEAS

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    4. Asafu-Adjaye, John, 2000. "The relationship between energy consumption, energy prices and economic growth: time series evidence from Asian developing countries," Energy Economics, Elsevier, vol. 22(6), pages 615-625, December.
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    Cited by:

    1. Yuanying Chi & Guoqing Bai & Jialin Li & Bin Chen, 2021. "Research on the coordination of energy in China’s economic growth," PLOS ONE, Public Library of Science, vol. 16(6), pages 1-20, June.
    2. Dalia STREIMIKIENE & Rizwan Raheem AHMED & Saghir Pervaiz GHAURI & Muhammad AQIL & Justas STREIMIKIS, 2020. "Forecasting and the Causal Relationship of Sectorial Energy Consumptions and GDP of Pakistan by using AR, ARIMA, and Toda-Yamamoto Wald Models," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(2), pages 131-148, July.

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    Replication

    This item is a replication of:
  • Asafu-Adjaye, John, 2000. "The relationship between energy consumption, energy prices and economic growth: time series evidence from Asian developing countries," Energy Economics, Elsevier, vol. 22(6), pages 615-625, December.

    • More about this item

    Keywords

    Energy consumption; Economic growth; Negative replication; Finite sample critical values; Panel cointegration;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

    Lists

    This item is featured on the following reading lists, Wikipedia, or ReplicationWiki pages:
    1. A (negative) replication of ‘The relationship between energy consumption, energy prices, and economic growth: Time series evidence from Asian developing countries’ (Energy Economics, 2000) (Energy Economics 2019) in ReplicationWiki

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