The Effects of Electricity Consumption on Agriculture, Service and Manufacturing Sectors in Malaysia

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Abstract

This paper aims to examine the effects of electric consumption on three sectors, namely, manufacturing, agriculture and services. The Johansen co-integration model is applied. The results indicate a long-run relationship between electric consumption and three sectors in Malaysia. VECM shows that it is confirmed that the long run relationship among electric consumption, agriculture and manufacturing in Malaysia. The Granger causality is used, and the results show that electric consumption does not Granger cause manufacturing and services sectors. However electricity consumption does Granger cause agriculture sector.Keywords: Electricity consumption, Agriculture, Service, ManufacturingJEL Classifications: Q11, Q43

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Author Biographies

Tan Lee Pei, Universiti Malaysia Perlis

School of Business and Technopreneurship

Mohd Shahidan Shaari, Universiti Malaysia Perlis

School of Business and Technopreneurship

Tunku Salha Tunku Ahmad, salha@unimap.edu.my

School of Business and Technopreneurship

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Published

2016-07-22

How to Cite

Pei, T. L., Shaari, M. S., & Tunku Ahmad, T. S. (2016). The Effects of Electricity Consumption on Agriculture, Service and Manufacturing Sectors in Malaysia. International Journal of Energy Economics and Policy, 6(3), 401–407. Retrieved from https://econjournals.com/index.php/ijeep/article/view/2177

Issue

Vol. 6 No. 3 (2016)

Section

Articles

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