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Energy consumption, oil price and macroeconomic performance in energy dependent African countries

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Listed:
  • Eregha, Perekunah Bright

    () (University of Lagos, Nigeria)

  • Mesagan, Ekundayo Peter

    () (University of Lagos, Nigeria)

Abstract

This study focuses on the relationship between energy consumption, oil price and macroeconomic performance of selected energy-dependent African countries. It was observed that energy consumption and crude oil price positively and significantly enhanced output growth but their impact on exchange rate is contradictory. Also, energy consumption and oil price were found to reduce inflation rate in the selected countries. It is therefore recommended that energy-dependent African countries should increase power generation and enhance crude oil local refining at affordable rates to boost energy consumption and reduce negative exogenous oil price shock on the macroeconomy.

Suggested Citation

  • Eregha, Perekunah Bright & Mesagan, Ekundayo Peter, 2017. "Energy consumption, oil price and macroeconomic performance in energy dependent African countries," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 46, pages 74-89.
  • Handle: RePEc:ris:apltrx:0318
    as

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    References listed on IDEAS

    as
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    More about this item

    Keywords

    energy consumption; oil price; macroeconomic performance; African countries;

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • 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

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