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Energy Consumption, Economic Growth, Financial Development and Trade Openness in Turkey: Maki Cointegration Test

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  • Mehmet Akif Destek

    (Gaziantep University, Department of Economics, Sehitkamil, Gaziantep, Turkey)

Abstract

This paper investigates the relationship between energy consumption, economic growth, energy prices, financial development and trade openness in Turkey for 1960-2011. The Maki cointegration test under multiple structural breaks and VECM Granger causality test are employed to determine cointegration and causality relations. The results reveal that economic growth and trade openness positively, financial development and energy prices negatively affect energy consumption in the long-run. The bidirectional causality exists between energy consumption and economic growth and financial development causes energy consumption for the long-run in Turkey.

Suggested Citation

  • Mehmet Akif Destek, 2015. "Energy Consumption, Economic Growth, Financial Development and Trade Openness in Turkey: Maki Cointegration Test," Bulletin of Energy Economics (BEE), The Economics and Social Development Organization (TESDO), vol. 3(4), pages 162-168, December.
    • Handle: RePEc:ijr:beejor:v:3:y:2015:i:4:p:162-168
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    References listed on IDEAS

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    2. Benkraiem, Ramzi & Lahiani, Amine & Miloudi, Anthony & Shahbaz, Muhammad, 2019. "The asymmetric role of shadow economy in the energy-growth nexus in Bolivia," Energy Policy, Elsevier, vol. 125(C), pages 405-417.
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    4. Omer Fazil Emek & Melike Atay Polat, 2022. "The Relationship Between Energy Consumption, Globalization, and Economic Growth: A Causality Analysis for Selected Emerging Market Economies," Journal of Economic Policy Researches, Istanbul University, Faculty of Economics, vol. 9(2), pages 331-351, July.
    5. Wang, Liping, 2022. "Research on the impact of energy price fluctuations on regional economic development based on panel data model," Resources Policy, Elsevier, vol. 75(C).
    6. Destek, Mehmet Akif, 2017. "Financial development and energy consumption nexus in emerging economies," MPRA Paper 106956, University Library of Munich, Germany.
    7. Noh, Nadia Mohd & Masih, Mansur, 2017. "The relationship between energy consumption and economic growth: evidence from Thailand based on NARDL and causality approaches," MPRA Paper 86384, University Library of Munich, Germany.
    8. Uddin, Md. Kamal & Pan, Xiongfeng & Saima, Umme & Zhang, Chengming, 2022. "Influence of financial development on energy intensity subject to technological innovation: Evidence from panel threshold regression," Energy, Elsevier, vol. 239(PD).
    9. Pan, Xiongfeng & Uddin, Md. Kamal & Saima, Umme & Guo, Shucen & Guo, Ranran, 2019. "Regime switching effect of financial development on energy intensity: Evidence from Markov-switching vector error correction model," Energy Policy, Elsevier, vol. 135(C).
    10. Ozcan, Burcu & Danish, & Temiz, Mehmet, 2022. "An empirical investigation between renewable energy consumption, globalization and human capital: A dynamic auto-regressive distributive lag simulation," Renewable Energy, Elsevier, vol. 193(C), pages 195-203.
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    More about this item

    Keywords

    Energy; Growth; Finance; Trade;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • F1 - International Economics - - Trade
    • P33 - Economic Systems - - Socialist Institutions and Their Transitions - - - International Trade, Finance, Investment, Relations, and Aid

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