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<article-title>Energy Consumption and Economic Growth: Evidence From Four Low-Income Countries in Sub-Saharan Africa</article-title>
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<author>Eyup Dogan  </author>

<aff>Clemson University </aff>

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<title>ABSTRACT</title>
<p>It is important for policy makers to find out the causality relationship between energy consumption (EC) and economic growth (GR) because the final result will help them to impose a proper energy policy. Will governments implement a policy to encourage EC or conserve energy? The main purpose of this paper is thus to investigate the causality relationship between EC and GR in four low-income countries in Sub-Saharan Africa  using the annual data on kg of oil equivalent per capita and real GDP per capita as proxies for energy consumption and economic growth, respectively, over the years of 1971-2011.In the estimation process, I use the econometrics in time-series methods. The results of the ADF unit root test show that the time series in all countries are not stationary at levels, but GR in Benin and Congo become stationary after taking the first differences of the data, and ECin all countries become stationary and GR in Kenya and Zimbabwe are found to be stationary after taking the second differences of the time-series. The findings of the Johansen co-integration test demonstrate that the variables EC and GR are not co-integrated for the cases of Kenya and Zimbabwe, so no long-run relationship between the variables arises in any country. The Granger causality test indicates that there is a unidirectional causality running from energy use to economic growth in Kenya and no causality linkage between EC and GR in Benin, Congo and Zimbabwe.  </p>
<p><italic>Keywords: </italic>Economic growth, Energy consumption, Causality test. </p>
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<hpdf>V4G296</hpdf>
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