title: Causality links among renewable energy consumption, CO2emissions, and economic growth in Africa: evidence from a panel ARDL-PMG approach.
abstract: This research examines the causality (For the remainder of the paper, the notion of causality refers to Granger causality.) links among renewable energy consumption (REC), CO2emissions (CE), non-renewable energy consumption (NREC), and economic growth (GDP) using an autoregressive distributed lag model based on the pooled mean group estimation (ARDL-PMG) and applying Granger causality tests for a panel consisting of 22 African countries for the period between 1990 and 2011. There is unidirectional and irreversible short-run causality from CE to GDP. The causal direction between CE and REC is unobservable over the short-term. Moreover, we find unidirectional, short-run causality from REC to GDP. When testing per pair of variables, there are short-run bidirectional causalities among REC, CE, and GDP. However, if we add CE to the variables REC and NREC, the causality to GDP is observable, and causality from the pair REC and NREC to economic growth is neutral. Likewise, if we add NREC to the variables GDP and REC, there is causality. There are bidirectional long-run causalities among REC, CE, and GDP, which supports the feedback assumption. Causality from GDP to REC is not strong for the panel. If we test per pair of variables, the strong causality from GDP and CE to REC is neutral. The long-run PMG estimates show that NREC and gross domestic product increase CE, whereas REC decreases CE.
authors.affiliation: Laboratory of Economics and Applied Finance (LEFA). Institut des Hautes Etudes Commerciales de Carthage, University of Carthage, Tunis, Tunisia. omda.attiaoui@gmail.com.
authors.forename: Imed
authors.initials: I
authors.lastname: Attiaoui
authors.affiliation: University of Economics and Management of Sfax, (URED), Street of Airport km 4.5, LP 1088, 3018, Sfax, Tunisia.
authors.forename: Hassen
authors.initials: H
authors.lastname: Toumi
authors.affiliation: University of Carthage (UR MASE) and University of Tunis (ESSEC Tunis), Tunis, Tunisia.
authors.forename: Bilel
authors.initials: B
authors.lastname: Ammouri
authors.affiliation: University of Economics and Management of Sfax, (URED), Street of Airport km 4.5, LP 1088, 3018, Sfax, Tunisia.
authors.forename: Ilhem
authors.initials: I
authors.lastname: Gargouri
mesh_terms: D000349:Africa; D002245:Carbon Dioxide; D015984:Causality; D057217:Economic Development; D059066:Gross Domestic Product; D059205:Renewable Energy / Q000191:economics
chemical_list: D002245:Carbon Dioxide
keywords: CO2 emissions; Growth; Non-renewable energy; Panel ARDL; Renewable energy