This paper examines the causal relationship between energy use and real GDP for the period 1967-2002 in Iran. The results of Phillips- Perron test indicate that the real GDP and the four categories of energy, i.e. coal, oil, gas, and hydroelectric energy are integrated of order one. Besides, the Johansen — Juselius maximum likelihood co- integration tests imply the existence of Granger causality. The VEC models that have been estimated to test the direction of Granger causality support a unidirectional causality from GDP to energy use in short run.
Tehranchian, A. M. (2006). On The Relationship between Energy Consumption and Real GDP on Iran: An Application of VEC Mode. Iranian Economic Review, 11(16), 141-148. doi: 10.22059/ier.2006.30946
MLA
Tehranchian, A. M. . "On The Relationship between Energy Consumption and Real GDP on Iran: An Application of VEC Mode", Iranian Economic Review, 11, 16, 2006, 141-148. doi: 10.22059/ier.2006.30946
HARVARD
Tehranchian, A. M. (2006). 'On The Relationship between Energy Consumption and Real GDP on Iran: An Application of VEC Mode', Iranian Economic Review, 11(16), pp. 141-148. doi: 10.22059/ier.2006.30946
CHICAGO
A. M. Tehranchian, "On The Relationship between Energy Consumption and Real GDP on Iran: An Application of VEC Mode," Iranian Economic Review, 11 16 (2006): 141-148, doi: 10.22059/ier.2006.30946
VANCOUVER
Tehranchian, A. M. On The Relationship between Energy Consumption and Real GDP on Iran: An Application of VEC Mode. Iranian Economic Review, 2006; 11(16): 141-148. doi: 10.22059/ier.2006.30946
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