Residential electricity demand dynamics in Turkey


Halicioglu F.

ENERGY ECONOMICS, vol.29, no.2, pp.199-210, 2007 (Peer-Reviewed Journal) identifier identifier

  • Publication Type: Article / Article
  • Volume: 29 Issue: 2
  • Publication Date: 2007
  • Doi Number: 10.1016/j.eneco.2006.11.007
  • Journal Name: ENERGY ECONOMICS
  • Journal Indexes: Social Sciences Citation Index, Scopus
  • Page Numbers: pp.199-210

Abstract

This article provides fresh empirical evidences for the income and price elasticies of the residential energy demand both in the short-run and long-run for Turkey over the period 1968-2005, using the bounds testing procedure to cointegration. The computed elasticities of income and price are consistent with the previous studies and, as expected, the long-run elasticities are greater than the short-run elasticities. An augmented form of Granger causality analysis is implemented among residential electricity, income, price and urbanization. In the long-run, causality runs interactively through the error-coffection term from income, price and urbanization to residential energy but the short-run causality tests are inconclusive The parameter stability of the short-run as well as long-run coefficients in the residential energy demand function are tested. The results of these tests display a stable pattern. (c) 2006 Elsevier B.V All rights reserved.