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Convergence of Electricity Consumption in Turkey: Spatial Panel Data Analysis

Author

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  • Gülsüm Akarsu
  • Burcu Berke

Abstract

The issue of convergence has been discussed in many theoretical and empirical studies. Because per capita electricity consumption is considered as an indication of economic development, this study aims to determine the presence of “absolute and conditional beta (β) convergence” of per capita total electricity consumption across the provinces of Turkey between 1986 and 2013. This work is the first investigation of electricity consumption convergence in Turkey. Based on the annual balanced panel data and the spatial panel data model, our findings indicate absolute β convergence of per capita electricity consumption across the provinces of Turkey. We conclude that regional policies are successful in reducing regional disparities in per capita electricity consumption among the provinces of Turkey. However, other indicators of economic development should be examined to determine the overall convergence. Key words: Convergence, Electricity consumption per capita, Spatial panel data model, Turkey. JEL: C50, Q41, R10. Konvergencija potrošnje električne energije u Turskoj: Analiza prostornih panel podataka O pitanju konvergencije je raspravljano u mnogim teorijskim i empirijskim radovima. S obzirom da se potrošnja električne energije po glavi stanovnika smatra pokazateljem ekonomskog razvoja, ovaj rad ima za cilj da utvrdi prisustvo „apsolutne i uslovne beta (β) konvergencije“ ukupne potrošnje električne energije po glavi stanovniku u provincijama Turske između 1986. i 2013. godine. Ovaj rad prvi istražuje konvergencije potrošnje električne energije u Turskoj. Na osnovu godišnjih uravnoteženih panel podataka i modela prostornih panel podataka, naši rezultati pokazuju apsolutnu β konvergenciju potrošnje električne energije po glavi stanovnika u svim pokrajinama Turske. Zaključujemo da su regionalne politike uspešne u smanjenju regionalnih razlika u potrošnji električne energije po glavi stanovnika u pokrajinama Turske. Međutim, za utvrđivanje ukupne konvergencije trebalo bi ispitati i druge pokazatelje ekonomskog razvoja. Ključne reči: konvergencija, potrošnja električne energije po glavi stanovnika, model prostornih panel podataka, Turska.

Suggested Citation

  • Gülsüm Akarsu & Burcu Berke, 2020. "Convergence of Electricity Consumption in Turkey: Spatial Panel Data Analysis," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 67(2), pages 241-256.
  • Handle: RePEc:voj:journl:v:67:y:2020:i:2:p:241-256:id:1056
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    More about this item

    Keywords

    Convergence; Convergence; Electricity consumption per capita; Spatial panel data model; Turkey;
    All these keywords.

    JEL classification:

    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

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