The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach
This paper examines the nexus between economic growth and energy consumption shock, over the period 1990-2020, in Iran. We employ a Bayesian vector autoregressive (BVAR) with new prior functions, which will give results more acceptable consequences than the classical methods to study these relation...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
University North
2023-01-01
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| Series: | Tehnički Glasnik |
| Subjects: | |
| Online Access: | https://hrcak.srce.hr/file/423341 |
| _version_ | 1797206615287398400 |
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| author | Ezatollah Abbasian Salaheddin Manochehri |
| author_facet | Ezatollah Abbasian Salaheddin Manochehri |
| author_sort | Ezatollah Abbasian |
| collection | DOAJ |
| description | This paper examines the nexus between economic growth and energy consumption shock, over the period 1990-2020, in Iran. We employ a Bayesian vector
autoregressive (BVAR) with new prior functions, which will give results more acceptable consequences than the classical methods to study these relationships. This study estimates
the relationship between energy consumption shocks and economic growth within a multivariate BVAR framework by including gross capital formation, Labor and carbon dioxide
emission. The multivariate impulse responses to shocks in all the variables are obtained. The results show that, there is a positive impact of energy consumption shocks on
economic growth in Iran and this means that energy consumption is crucial for economic growth. Also, the responses of economic growth to one-unit shock of gross capital
formation and labor force are positive and the responses of economic growth to the one-unit shock of carbon dioxide emission is are negative. |
| first_indexed | 2024-04-24T09:09:50Z |
| format | Article |
| id | doaj.art-cff3fd14be4648368a6a361d263f4f60 |
| institution | Directory Open Access Journal |
| issn | 1846-6168 1848-5588 |
| language | English |
| last_indexed | 2024-04-24T09:09:50Z |
| publishDate | 2023-01-01 |
| publisher | University North |
| record_format | Article |
| series | Tehnički Glasnik |
| spelling | doaj.art-cff3fd14be4648368a6a361d263f4f602024-04-15T18:15:50ZengUniversity NorthTehnički Glasnik1846-61681848-55882023-01-01171141910.31803/tg-20211116203435The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR ApproachEzatollah Abbasian0Salaheddin Manochehri1Department of Public Administration, Faculty of Management, University of Tehran, Tehran, IranFaculty of Economics and Social Sciences, Department of Economics, Bu-Ali Sina University, Hamedan, IranThis paper examines the nexus between economic growth and energy consumption shock, over the period 1990-2020, in Iran. We employ a Bayesian vector autoregressive (BVAR) with new prior functions, which will give results more acceptable consequences than the classical methods to study these relationships. This study estimates the relationship between energy consumption shocks and economic growth within a multivariate BVAR framework by including gross capital formation, Labor and carbon dioxide emission. The multivariate impulse responses to shocks in all the variables are obtained. The results show that, there is a positive impact of energy consumption shocks on economic growth in Iran and this means that energy consumption is crucial for economic growth. Also, the responses of economic growth to one-unit shock of gross capital formation and labor force are positive and the responses of economic growth to the one-unit shock of carbon dioxide emission is are negative.https://hrcak.srce.hr/file/423341Bayesian VAReconomic growthenergy consumptionIran |
| spellingShingle | Ezatollah Abbasian Salaheddin Manochehri The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach Tehnički Glasnik Bayesian VAR economic growth energy consumption Iran |
| title | The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach |
| title_full | The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach |
| title_fullStr | The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach |
| title_full_unstemmed | The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach |
| title_short | The Nexus between Energy Consumption Shocks and Economic Growth: Using BVAR Approach |
| title_sort | nexus between energy consumption shocks and economic growth using bvar approach |
| topic | Bayesian VAR economic growth energy consumption Iran |
| url | https://hrcak.srce.hr/file/423341 |
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