Working Paper

Energy Use and Economic Growth in Africa: A Panel Granger-Causality Investigation

Mohamed El Hedi Arouri, Adel Ben Youssef, Hatem M'Henni, Christophe Rault
CESifo, Munich, 2014

CESifo Working Paper No. 4844

We make use of a bootstrap panel analysis of causality between energy use and economic growth for a sample of sixteen African countries over the period 1988-2010. Our results show that growth and energy use are strongly linked in Africa. However, African countries are heterogeneous and there is no “one way” recommendation about energy-growth relationship that may work for all countries in Africa.

CESifo Category
Energy and Climate Economics
Keywords: energy use, growth, VAR
JEL Classification: Q430, Q530, Q560