Energy consumption, CO2 emission and economic growth in asean countries

Abstract

The article analyzes the causal relationship among energy consumption, CO2 emissions and economic growth in four ASEAN countries for the period 1980-2018. The results of the Vector Error Correction Model (VECM) indicate a positive significant relationship among energy consumption, CO2 emissions and economic growth. The CO2 emissions and GDP per capita growth form a nonlinear EKC relation in the long run. The granger causality test statistics reveal a unidirectional causal relation from energy consumption and CO2 emissions to economic growth. While in short-run unidirectional Granger causality is found from CO2 emissions to energy consumption.