The Relationship between Energy Consumption Growths and Economic Growth in China

  •  Qiang Hou    


Energy plays an important role in the economic development. Hence many studies have attempted to test for causality between energy and economic growth. This paper investigates the causal relationship between energy consumption and economic growth in China. By applying techniques of ADF, co-integration, Hsiao’s Granger causality, the paper analyzes this relationship, and the results infer that economic growth granger causes energy consumption and energy consumption granger causes economic growth respectively.

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