Is there any relationship between energy and TFP (total factor productivity)? A panel cointegration approach for Italian regions
Title | Is there any relationship between energy and TFP (total factor productivity)? A panel cointegration approach for Italian regions |
Publication Type | Journal Article |
Year of Publication | 2014 |
Authors | Ladu, MG, Meleddu, M |
Journal | Energy |
Volume | 75 |
Issue | October |
Pagination | 560–567 |
Abstract | The aim of this work is to examine the long run relationship between TFP (total factor productivity) and energy consumption in Italy from 1996 to 2008 at a regional level. Differently from previous studies, TFP is employed as a measure of economic growth and therefore of technological change. Dynamic Panel estimation technique is used to investigate whether a connection between TFP and energy use exists and its direction. Results show a bi-directional causality for the Italian regions implying that those regions characterized by a higher TFP would invest more in research rather than in energy intensive activities, improving in that way the use of scarce resources and favoring a sustainable growth. |
URL | http://www.sciencedirect.com/science/article/pii/S0360544214009542 |
DOI | 10.1016/j.energy.2014.08.018 |
Keywords | dynamic panel, energy use, total factor productivity |