Does Energy Consumption Boost Economic Growth in Bangladesh: Evidence from ARDL Bounds Testing Approach
Mir Khaled Iqbal Chowdhury, Md. Abu Hasan, Md. Abdul Wadud
Asian Journal of Economics, Business and Accounting · pp. 1–9 · Published 22 Aug 2017
10.9734/AJEBA/2017/34156Abstract
The paper assesses whether energy consumption leads to economic growth in Bangladesh applying the ARDL (autoregressive distributed lag) bounds testing approach of cointegration. We use time series data for the period from 1979 to 2014. Results report that energy use and economic growth cause each other to boost both in the short- and long-run. Policy implication is that the government needs to continue generating and ensuring supplying of energy to boost both economic growth and energy generation to achieve the ‘Vision 2041’ of developed country.
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