The importance of non-renewable, renewable and sustainable energy sources and energy consumption in the economic development strategy of a country is undeniable. The purpose of the paper is to investigate the impacts of energy consumption on the economic growth of Vietnam during the 1980-2014 period. By applying the Autoregressive Distributed Lag (ARDL) model of Pesaran et al. (2001), and the Granger causality test of Toda and Yamamoto (1995), the empirical results provide evidence that electricity consumption has positive impacts on Vietnam's economic growth in both the short run and long run. For public policy prescriptions, the empirical evidence suggests that an exploration of new sources of renewable and sustainable energy is essential for long run economic development.
|Number of pages||12|
|Journal||Journal of Reviews on Global Economics|
|Publication status||Published - 2 Jul 2019|
Bibliographical noteJEL Classification: F43, O13, O47, Q42, Q43
The authors are most grateful to a reviewer for helpful comments and suggestions. For financial support, the first three authors wish to acknowledge a research grant from Ho Chi Minh City Open University, Vietnam, and the fourth author wishes to thank the Australian Research Council and Ministry of Science and Technology (MOST), Taiwan.
© 2019 Nguyen et al.