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Student
Title
Supervisor
Faculty
Educational Programme
Final Grade
Year of Graduation
Alina Simakova
Impact of Energy on Sustainable Development
Economics
(Bachelor’s programme)
2019
This paper is devoted to study of a causal relationship between primary energy consumption and sustainable development. The analysis was conducted for 46 countries (24 developed and 22 developing) with the time horizon of 50 years (from 1968 to 2017). Econometric analysis was chosen as the analysis method and performed in the STATA statistical package. To answer the question of the study, two models were built: a panel data model with fixed effects and a panel vector autoregression model (PVAR). Granger causality tests were carried out to determine if there was a causal relationship after each assessment. The analysis revealed a unidirectional causal relationship between primary energy consumption and sustainable development (primary energy consumption is the cause for sustainable development). In addition, differences in the direction of nexus among subgroups of countries (developed and developing) were tested. A difference in the objects of cause and effect was revealed, but a more precise direction could not be found.

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