energy consumption and economic growth relationship evidence from panel data for low and middle income countries abstract this paper uses the panel data of energy consumption ec and economic growth gdp for 51 countries from 1971 to 2005 these countries are divided into three groups low income group lower middle income group and upper middle income group countries firstly a relationship between energy consumption and economic growth is investigated by employing pedroni 1999 panel cointegration method secondly panel causality test is applied to investigate the way of causality between the energy consumption and economic growth finally we test whether there is a strong or weak relationship between these variables by using pedroni 2001 method the empirical results of this study are as follows i energy consumption and gdp are cointegrated for all three income group countries ii the panel causality test results reveal that there is long run granger causality running from gdp to ec for low income countries and there is bidirectional causality between ec and gdp for middle income countries iii the estimated cointegration factor is not close to 1 in other words no strong relation is found between energy consumption and economic growth for all income groups considered in this study the findings of this study have important policy implications and it shows that this issue still deserves further attention in future research

the role of energy in productivity growth the objective of this paper is to analyze the role of energy in the growth of productivity the special significance of energy in economic growth was first established in the classic study energy and the american economy 1850 1975 by sam schurr and his associates 1960 at resources for the future for the period from 1920 to 1955 schurr noted that energy intensity of production had fallen while both labor and total factor productivity were rising the simultaneous decline in energy intensity and labor intensity of production ruled out the possibility of explaining the growth of productivity solely on the basis of substitution of less expensive energy for more expensive labor since the quantity of both energy and labor inputs required for a given level of output had been reduced technical change is also a critical explanatory factor an alternative explanation for growth of output with declining energy and labor intensity required an examination of the character of technical change this examination was motivated by the fact that from 1920 to 1955 the utilization of electricity had expanded by a factor of more than ten while consumption of all other forms of energy only doubled the two key features of technical change during this period were that the thermal efficiency of conversion of fuels into electricity increased by a factor of three and that the unusual characteristics of electricity had made it possible to perform tasks in altogether different ways than if the fuels had to be used directly schurr 1983 p 3 schurr 1982 has recently extended the analysis of energy and the american economy through 1981 for the period through 1969 his conclusions are as follows although the inverse relationship between total factor productivity and energy intensity virtually disappeared during the 1953 1969 period it is still noteworthy that high rates of improvement in total factor productivity were essentially not associated with increases in energy intensity 1982 p 6 schurr 1982 has analyzed the experience of the u s economy in the aftermath of the oil embargo of 1973 he points out that energy intensity of production has fallen steadily since 1973 and that the rate of decline accelerated sharply after the second oil price shock in 1979 following the iranian revolution he goes on to point out that

commodities momentum a behavioral perspective the growth in commodity related investments has sparked interest in the performance of momentum strategies in these markets this paper introduces a behavioral proxy of the 52 week high and low momentum that explains a significant proportion of the variation of conventional momentum returns after controlling for commodity specific risk factors our findings show that the 52 week high strategy generates significant profits after accounting for transaction costs we report that the 52 week high strategy is a better predictor of returns than conventional momentum our findings suggest that term structure and hedging pressure risk factors provide only a partial explanation of the results

is the energy led growth hypothesis valid new evidence from a sample of 85 countries abstract the energy growth literature contains a large number of discussions on the causal relationship between energy consumption and economic growth the central debate focuses on whether energy consumption contributes or not to economic growth since it has direct implications for the formulation of strategic policies nevertheless current studies cannot provide a conclusive suggestion due to mixed causality results this inconclusive evidence is potentially attributed to model specifications and the stage of economic development of the countries under investigation hence this study attempts to empirically re investigate the validity of the energy led growth hypothesis using a different model specification and different stages of economic development for 85 selected countries around the globe overall although the causality results are mixed among countries we do find a systematic pattern in particular granger causality models with three and four variables are more likely to support the hypothesis compared to their counterparts that contain only two variables in addition both developed and developing countries are more likely to support the energy led growth hypothesis compared to the less developed or low income countries therefore causality results are very sensitive to the choice of the model specification along with the stages of economic development finally energy conservation policies should only focus on low income countries as these policies may not retard the process of economic growth

energy consumption and economic growth new insights into the cointegration relationship abstract this paper examines the long run relationship between energy consumption and real gdp including energy prices for 25 oecd countries from 1981 to 2007 the distinction between common factors and idiosyncratic components using principal component analysis allows to distinguish between developments on an international and a national level as drivers of the long run relationship indeed cointegration between the common components of the underlying variables indicates that international developments dominate the long run relationship between energy consumption and real gdp furthermore the results suggest that energy consumption is price inelastic causality tests indicate the presence of a bi directional causal relationship between energy consumption and economic growth

performance changes around bank mergers revenue enhancements versus cost reductions this paper examines operating performance around commercial bank mergers we find that industry adjusted operating performance of merged banks increases significantly after the merger large bank mergers produce greater performance gains than small bank mergers activity focusing mergers produce greater performance gains than activity diversifying mergers geographically focusing mergers produce greater performance gains than geographically diversifying mergers and performance gains are larger after the implementation of nationwide banking in 1997 further we find improved performance is the result of both revenue enhancements and cost reduction activities however revenue enhancements are most significant in those mergers that also experience reduced costs

psychological factors and stock option exercise we investigate stock option exercise decisions by over 50 000 employees at seven corporations controlling for economic factors psychological factors influence exercise consistent with psychological models of beliefs employees exercise in response to stock price trends exercise is positively related to stock returns during the preceding month and negatively related to returns over longer horizons consistent with psychological models of values that include reference points employee exercise activity roughly doubles when the stock price exceeds the maximum price attained during the previous year

the causality relationship between energy consumption and gdp in g 11 countries revisited abstract this paper explores whether energy conservation policies can be implemented in countries with the same level of development that is is restraining energy consumption without compromising economic growth feasible in all industrialized countries a new granger non causality testing procedure developed by toda and yamamoto 1995 journal of econometrics 66 225 250 is applied to re investigate the relationship if any between energy consumption and income in 11 major industrialized countries the results clearly do not support the view that energy consumption and income are neutral with respect to each other except in the case of the united kingdom germany and sweden where a neutral relationship is found bi directional causality in the united states and uni directional running from energy consumption to gdp in canada belgium the netherlands and switzerland are found this indicates that energy conservation may hinder economic growth in the latter five countries further the causality relationship appears to be uni directional but reversed for france italy and japan which implies that in these three countries energy conservation may be viable without being detrimental to economic growth

energy consumption and economic growth evidence from 11 sub sahara african countries abstract the paper examines the causal relationship between energy consumption and economic growth for eleven countries in sub saharan africa using the autoregressive distributed lag ardl bounds test the study finds that energy consumption is cointegrated with economic growth in cameroon cote d ivoire gambia ghana senegal sudan and zimbabwe moreover this test suggests that energy consumption has a significant positive long run impact on economic growth in ghana kenya senegal and sudan granger causality test based on vector error correction model vecm shows bi directional relationship between energy consumption and economic growth for gambia ghana and senegal however granger causality test shows that economic growth granger causes energy consumption in sudan and zimbabwe the neutrality hypothesis is confirmed in respect of cameroon and cote d ivoire the same result of no causality was found for nigeria kenya and togo the result shows that each country should formulate appropriate energy conservation policies taking into cognizance of her peculiar condition

on the causal dynamics between emissions nuclear energy renewable energy and economic growth this paper examines the causal relationship between co2 emissions nuclear energy consumption renewable energy consumption and economic growth for a group of 19 developed and developing countries for the period 1984 2007 using a panel error correction model the long run estimates indicate that there is a statistically significant negative association between nuclear energy consumption and emissions but a statistically significant positive relationship between emissions and renewable energy consumption the results from the panel granger causality tests suggest that in the short run nuclear energy consumption plays an important role in reducing co2 emissions whereas renewable energy consumption does not contribute to reductions in emissions this may be due to the lack of adequate storage technology to overcome intermittent supply problems as a result electricity producers have to rely on emission generating energy sources to meet peak load demand

the asymmetric granger causality analysis between energy consumption and income in the united states abstract we investigated granger causality between variants of the energy consumption sources and gross domestic product gdp for the united state of america usa to accomplish this objective we utilized a recent approach of asymmetric granger causality developed by hatemi j for the period january 1973 october 2011 our results indicated presence of asymmetric granger causality between a few variants of energy consumption sources i e coal consumption cc natural gas consumption ng primary energy consumption pe and total renewable energy consumption tre and gdp all measured in growth rates additionally when positive shocks are analyzed we found the evidence of unidirectional granger causality running from gdp growth rate to growth rate of cc and from growth rate of total electricity end use ec to gdp growth rate additionally we find significant evidence of bidirectional granger causality between ng and gdp pe and gdp and tre and gdp all measured in growth rates however in case of negative shocks we find that the null hypothesis that growth rates in cc and tre do not granger cause gdp growth rate is rejected at 5 level of significance these results have important implications for research analysts as well as policy makers of the usa economy

energy consumption and gdp causality relationship in g 7 countries and emerging markets abstract the causality relationship between energy consumption and income is a well studied topic in energy economics this paper studies the time series properties of energy consumption and gdp and reexamines the causality relationship between the two series in the top 10 emerging markets excluding china due to lack of data and g 7 countries we discover bi directional causality in argentina causality running from gdp to energy consumption in italy and korea and from energy consumption to gdp in turkey france germany and japan hence energy conservation may harm economic growth in the last four countries

oil and stock market momentum abstract this study provides a novel perspective to the oil stock market nexus by examining the predictive ability of oil return and volatility on stock market momentum in china we find that oil return volatility serves as a strong predictor of industry momentum even after controlling for stock market state volatility and key macroeconomic variables we argue that the predictive ability of oil over momentum payoffs is driven by time varying investor sentiment that relates to excess buying pressure on winner stocks during uncertain times captured by oil return volatility our tests also show that an oil based momentum strategy wherein the investor conditions the trade on the state of oil return volatility yields significant abnormal returns more than double that could be obtained from the conventional momentum strategy in short the findings suggest that oil market dynamics can contribute to stock market inefficiencies in such a way that these inefficiencies create significant abnormal profits for active managers

measuring the effects of regulation with stock price data this article examines the usefulness of stock returns in measuring the effects of regulation when the dates on which market expectations change are not known and standard sources e g the wall street journal are used to choose announcement dates twenty major changes in regulatory constraint since 1887 are considered tests using either monthly or daily data are found to have surprisingly little ability to detect the effects of regulation the evidence shows that formal regulatory announcements are generally anticipated in cases where it is unclear when expectations change

exercise behavior valuation and the incentive effects of employee stock options abstract we use a large database on eso exercises to document characteristics of exercise behavior and calibrate a utility based model for measuring how differences in exercise behavior are manifested in option values and incentives option values and incentives computed from the model calibrations are compared to those computed from models used to value tradable options our analysis provides guidance to both academics and practitioners about how differences in exercise behavior and model choice affect measures of eso values and incentives and underscores the importance of gaining a thorough understanding of the underlying economic forces that affect the behavior of eso holders

changes in interstate banking laws the impact on shareholder wealth this study examines the impact on shareholder wealth of changes in interstate banking laws the research demonstrates that changes in state statutes which allow interstate banking have a positive impact on the stock prices of regional banking organizations and a negative impact on the stock prices of money center banks interstate banking statutes initially exclude those states in which the money center banks are headquartered the findings provide evidence that by excluding money center banks from expansion across state lines the competition from the regional banks may have an adverse competitive effect on the money center banks from june 1982 to september 1986 44 states and the district of columbia passed some form of interstate banking legislation this study measures the impact of these legislative changes on the wealth of bank shareholders when legislation is enacted each state s banks are given the opportunity to engage in interstate merger activity the market s perception of the impact on the affected banks should be reflected in the equity returns of shareholders the results show that while there are no announcement effects for the entire sample there are significant effects among a subsample of the data set money center banks experience negative returns throughout the sample period whereas regional banking organizations experience positive abnormal returns section i reviews the literature section ii describes the data used in this study and defines the event the methodological issues are addressed in section iii the empirical results are in section iv the conclusions are in section v

growth and renewable energy in europe a random effect model with evidence for neutrality hypothesis this is an empirical study on the causal relationship between economic growth and renewable energy for 27 european countries in a multivariate panel framework over the period 1997 2007 using a random effect model and including final energy consumption greenhouse gas emissions and employment as additional independent variables in the model empirical results do not confirm causality between renewable energy consumption and gdp although panel causality tests unfold short run relationships between renewable energy and greenhouse gas emissions and employment the estimated cointegration factor refrains from unity indicating only a weak if any relationship between economic growth and renewable energy consumption in europe suggesting evidence of the neutrality hypothesis which can partly be explained by the uneven and insufficient exploitation of renewable energy sources across europe

underlying causal factors of the european union energy intensity econometric evidence abstract the aim of the research is to determine the main factors that define the level of energy intensity in the countries of the european union the research was conducted by estimation of six baseline and six auxiliary regressions with and without time lags in form of one way fixed and random effects error component models on different unbalanced panel data samples covering the period 1995 2015 the obtained baseline regressions results generate three sets of findings the first set consists of extremely robust findings relating to the positive influence of gross fixed capital formation and industrial gross value added and negative effects of real per capita gross domestic product and oil products retail price these variables are statistically significant in all 36 baseline empirical models the second set of results consists of quite robust findings relating to insignificant influence of foreign direct investment and negative influence of coal price according to the results it cannot be confirm the hypothesis of energy saving technology transfer via foreign direct investments in european union member states the third set of results shows that the research has failed to generate any robust findings for economic openness import ratio urbanization and natural gas price which means that the effect of these determinants on energy intensity in european union member states is unspecified finally auxiliary regressions estimation results show that changes in the sectorial composition within the european union member states economies have not enhanced energy saving technological transfer via foreign direct investments

the effects of endowment and loss aversion in managerial stock option valuation assuming a positive influence of stock price volatility on stock option value incentive alignment proponents argue that stock option compensation encourages managerial risk seeking and thus aligns managers and shareholders risk preferences our findings show that stock option holders overvalue unexercisable options relative to options being offered and to normative e g black scholes valuations further the influence of stock price volatility on holders subjective valuations depends on stock price trend in sum results suggest that during stock option valuation managers draw on heuristics that financial options theory and models fail to capture we discuss implications for compensation design and research

renewable energy oil prices and economic activity a granger causality in quantiles analysis this paper analyzes the causal relationship between renewable energy consumption oil prices and economic activity in the united states from july 1989 to july 2016 considering all quantiles of the distribution although the concept of granger causality is defined for the conditional distribution the majority of papers have tested granger causality using conditional mean regression models in which the causal relations are linear we apply a granger causality in quantiles analysis that evaluates causal relations in each quantile of the distribution under this approach we can discriminate between causality affecting the median and the tails of the conditional distribution we find evidence of bi directional causality between changes in renewable energy consumption and economic growth at the lowest tail of the distribution besides changes in renewable energy consumption lead economic growth at the highest tail of the distribution our results also support the unidirectional causality from fluctuations in oil prices to economic growth at the extreme quantiles of the distribution finally we find evidence of lower tail dependence from changes in oil prices to changes in renewable energy consumption our findings call for government policies aimed at developing renewable energy markets to increase energy efficiency in the u s

energy consumption and economic growth revisited in african countries abstract the aim of this paper is to provide new empirical evidence on the relationship between energy consumption and economic growth for 21 african countries over the period from 1970 to 2006 using recently developed panel cointegration and causality tests the countries are divided into two groups net energy importers and net energy exporters it is found that there exists a long run equilibrium relationship between energy consumption real gdp prices labor and capital for each group of countries as well as for the whole set of countries this result is robust to possible cross country dependence and still holds when allowing for multiple endogenous structural breaks which can differ among countries furthermore we find that decreasing energy consumption decreases growth and vice versa and that increasing energy consumption increases growth and vice versa and that this applies for both energy exporters and importers finally there is a marked difference in the cointegration relationship when country groups are considered

renewable energy consumption and income in emerging economies abstract increased economic growth and demand for energy in emerging economies is creating an opportunity for these countries to increase their usage of renewable energy this paper presents and estimates two empirical models of renewable energy consumption and income for a panel of emerging economies panel cointegration estimates show that increases in real per capita income have a positive and statistically significant impact on per capita renewable energy consumption in the long term a 1 increase in real income per capita increases the consumption of renewable energy per capita in emerging economies by approximately 3 5 long term renewable energy per capita consumption price elasticity estimates are approximately equal to 0 70

loss aversion in a consumption savings model abstract we propose a model of consumption and saving based on kahneman and tversky s prospect theory that implies a fundamental asymmetry in consumption behavior inconsistent with other models of consumption when there is sufficient income uncertainty a person resists lowering consumption in response to bad news about future income this resistance is greater than the resistance to increasing consumption in response to good news we present empirical evidence from five countries that confirms this behavior

the gains from takeover deregulation evidence from the end of interstate banking restrictions this paper uses interstate banking deregulation to explore the benefits of takeover deregulation and how these benefits are distributed across different firms we find large and significant abnormal returns around the interstate banking and branching efficiency act of 1994 which imply it created 85 billion of value in the banking industry consistent with an active market for corporate control allowing beneficial consolidation and providing needed discipline there is a strong negative relationship between banks abnormal returns and their prior performance consistent with managerial entrenchment limiting takeover discipline banks with higher insider ownership lower outside block ownership and or less independent boards have lower abnormal returns imagine an economy in which strict regulation has prohibited all takeover activity and the governing body suddenly announces that the restrictions on mergers and acquisitions will be eliminated in one year the capital market response to this announcement would establish the aggregate value added from an active corporate control market and differences between individual firms stock price reactions would reveal which firms benefit most from unrestricted consolidation and takeover discipline in some ways this hypothetical situation became reality for the u s banking industry in 1994 when congress wrote and passed the interstate banking and branching efficiency act ibbea this legislation liberalized the bank takeover market by eliminating the various state laws restricting bank mergers across state lines the ibbea was widely expected to accelerate the consolidation already occurring within the banking industry see for example american banker 10 11 94 a more active takeover market should increase firm values in at least two ways first unrestricted consolidation would allow firms to better utilize

renewable and non renewable energy consumption growth nexus evidence from a panel error correction model abstract unlike previous renewable energy consumption growth studies this study examines the relationship between renewable and non renewable energy consumption and economic growth for 80 countries within a multivariate panel framework over the period 1990 2007 the pedroni 1999 2004 heterogeneous panel cointegration test show a long run equilibrium relationship between real gdp renewable energy consumption non renewable energy consumption real gross fixed capital formation and the labor force with the respective coefficient estimates positive and statistically significant there is little difference in the elasticity estimates with respect to renewable and non renewable energy consumption the results from the panel error correction model reveal bidirectional causality between renewable and non renewable energy consumption and economic growth in both the short and long run also there is bidirectional short run causality between renewable and non renewable energy consumption indicative of substitutability between the two energy sources

cause and effect of renewable energy consumption on urbanization and economic growth in china s provinces and regions abstract renewable energy development is one of the cleaner production paths for china s transformation of urbanization and economic development recognizing the nexus among them may help china to formulate a targeted policy for efficient and clean energy utilization as well as for carbon reduction based on the panel data of 30 provinces and seven geographical regions over the period of 1997 2015 we apply a bootstrap panel causality test to explore the cause and effect of renewable energy consumption on urbanization and economic growth in china after a cross sectional dependence test and a slope homogeneity test we find that china s renewable energy consumption urbanization and economic growth in one region might be influenced by the others however no causality is found in 80 of provinces and 71 of geographical regions for the nexus of renewable energy consumption and urbanization and no causality is found in 53 of provinces and 43 of geographical regions for the nexus of renewable energy consumption and economic growth besides significant geographical differences are found for the nexus therefore the chinese government should not only strengthen a unified renewable energy management system to advocate regional cooperation but also give full play to the weak joint linkages and adopt differentiated renewable energy policies according to local conditions the interactive mechanism and a virtuous cycle among the three indicators should be established in the medium and long term to help china s energy use towards a cleaner transition

energy efficiency rebound effects and the environmental kuznets curve technological change is one factor used to justify the existence of an environmental kuznets curve and technological improvements have been argued to be a key factor in mitigating the impacts of economic growth on environmental quality in this paper we use a cge model of the scottish economy to consider the factors influencing the impacts of one form of technological change improvements in energy efficiency on absolute levels of co2 emissions on the carbon intensity of the economy co2 emissions relative to real gdp and the per capita ekc relationship these factors include the elasticity of substitution between energy and non energy inputs responses in the labour market and the structure of the economy our results demonstrate the key role played by the general equilibrium price elasticity of demand for energy and the relative influence of different factors on this parameter

renewable energy and macroeconomic efficiency of oecd and non oecd economies abstract this article analyzes the effects of renewable energy on the technical efficiency of 45 economies during the 2001 2002 period through data envelopment analysis dea in our dea model labor capital stock and energy consumption are the three inputs and real gdp is the single output increasing the use of renewable energy improves an economy s technical efficiency conversely increasing the input of traditional energy decreases technical efficiency compared to non oecd economies oecd economies have higher technical efficiency and a higher share of geothermal solar tide and wind fuels in renewable energy however non oecd economies have a higher share of renewable energy in their total energy supply than oecd economies

real investment implications of employee stock option exercises this paper examines a real cost of awarding employee stock options based on the observation that managers are extremely concerned about earnings per share dilution in equity related compensation we predict and find that firms experiencing significant employee stock option eso exercises shift resources away from real investments towards the repurchase of their own stocks we further find weak evidence of a decline in subsequent firm performance as measured by return on assets for several years following the cut in discretionary investments as a result of stock option exercises though this result is sensitive to the metric used to measure performance collectively our findings indicate that eso exercises potentially impose a real cost on the firm in terms of foregone investment opportunities

energy consumption and economic growth evidence from the commonwealth of independent states abstract this study examines the relationship between energy consumption and economic growth for eleven countries of the commonwealth of independent states over the period 1991 2005 within a multivariate panel data framework based on pedroni 1999 pedroni 2004 heterogeneous panel cointegration test and corresponding error correction model cointegration is present between real gdp energy consumption real gross fixed capital formation and labor force with the respective coefficients positive and statistically significant the results of the error correction model reveal the presence of unidirectional causality from energy consumption to economic growth in the short run while bidirectional causality between energy consumption and economic growth in the long run thus the results lend support for the feedback hypothesis associated with the relationship between energy consumption and economic growth

the effects of openness trade orientation and human capital on total factor productivity abstract we study the effects of openness trade orientation and human capital on total factor productivity for a pooled sample of developed and developing countries total factor productivity emerges from a parsimonious specification of the aggregate production function potential determinants of total factor productivity include measures of openness trade orientation and human capital higher openness benefits total factor productivity outward oriented countries experience higher total factor productivity over and above the positive effect of openness human capital generally contributes positively to total factor productivity in poor countries however human capital interacts with openness to achieve a positive effect

total factor productivity differences appropriate technology vs efficiency abstract recent development and growth accounting studies have established that total factor productivity is an important source of cross country differences in income levels and growth rates this paper makes two contributions first it examines the sensitivity of the development accounting results to the cobb douglas specification of the production function second within the cobb douglas framework it weighs evidence of the two alternative explanations of total factor productivity differences the inefficiency view and the appropriate technology view to accomplish these tasks the world production frontier is estimated using a nonparametric deterministic approach known as data envelopment analysis i find that the fraction of income differences explained by physical and human capital increases from 32 to 55 when departing from the cobb douglas assumption there is also evidence consistent with the appropriate technology view countries with an inadequate mix of inputs are unable to access the most productive technologies moreover the world technology frontier appears to be shifting out faster at input combinations close to that of the rd it explains 43 of output variation in 1995 and its importance has increased over time

energy consumption and economic growth nexus in portugal italy greece spain and turkey an ardl bounds test approach 1965 2009 abstract the paper examines the nexus between primary energy consumption and growth in portugal italy greece spain and turkey pigst with annual time series data from 1965 to 2009 pigst are southern european economies which have experienced several episodes that make them of particular interest to the study of periods of economic expansion and stagnation an ardl bounds test approach is a suitable technique to examine energy growth nexus within the context of countries with both sporadic shocks outliers and permanent shocks structural breaks empirical results suggest bidirectional causality between energy and growth in both the long run and short run supporting the feedback hypothesis the results reveal themselves to be robust to panel framework an energy conservation policy will reduce gdp growth while a saving phenomenon is observed since one additional unit of product requires less than one unit of energy

the 52 week high momentum strategy in international stock markets abstract we study the 52 week high momentum strategy in international stock markets proposed by george and hwang george t hwang c y 2004 the 52 week high and momentum investing journal of finance 59 2145 2176 this strategy produces profits in 18 of the 20 markets studied and the profits are significant in 10 markets the 52 week high momentum profits exist independently from the jegadeesh and titman jegadeesh n titman s 1993 returns to buying winners and selling losers implications for market efficiency journal of finance 48 65 91 individual stock and moskowitz and grinblatt moskowitz t j grinblatt m 1999 do industries explain momentum journal of finance 54 1249 1290 industry momentum strategies these profits do not show reversals in the long run we find that the 52 week high is a better predictor of future returns than macroeconomic risk factors or the acquisition price the individualism index a proxy to the level of overconfidence has no explanatory power to the variations of the 52 week high momentum profits across different markets however the profits are no longer significant in most markets once transaction costs are taken into account

energy consumption and gdp in tunisia cointegration and causality analysis abstract in this paper the johansen cointegration technique is used to examine the causal relationship between per capita energy consumption pcec and per capita gross domestic product pcgdp for tunisia during the 1971 2004 period in order to test for granger causality in the presence of cointegration among the variables a vector error correction model vecm is used instead of a vector autoregressive var model our estimation results indicate that the pcgdp and pcec for tunisia are related by one cointegrating vector and that there is a long run bi directional causal relationship between the two series and a short run unidirectional causality from energy to gross domestic product gdp the source of causation in the long run is found to be the error correction terms in both directions hence an important policy implication resulting from this analysis is that energy can be considered as a limiting factor to gdp growth in tunisia conclusions for tunisia may also be relevant for a number of countries that have to go through a similar development path of increasing pressure on already scarce energy resources

is energy intensity important for the productivity growth of eet adopters abstract energy efficient technologies eet have attracted strong interest because of their role in reducing environmental damage their adoption however remains rather low while their impact on productivity is substantial and differentiating with respect to technological characteristics energy intensity being such an obvious characteristic could be employed to classify eet adopters thus giving rise to two heterogeneous technologies i e those corresponding to firms of low and high energy consumption hence this paper examines the impact of energy intensity on the productivity growth of firms adopting eet in varying time intervals through a metafrontier based framework while also decomposing that impact in terms of technical efficiency and scale efficiency changes the analysis is complemented by examining the role of firm specific characteristics on the productivity growth through linear regression

the impact of disaggregated energy on productivity abstract the issue of the productivity slowdown of the 1970s and 1980s has received considerable analysis in the literature however the issue of the impact of energy on productivity is still debated this study contributes to the debate with the hope that some sight could be provided through disaggregating the factor input energy into two components a petroleum component and a non petroleum component by analysing labour productivity growth total factor productivity growth and labour intensity ratios the disaggregated energy component can be viewed as a major influence in explaining the productivity decline

does renewable and or non renewable energy consumption matter for total factor productivity tfp growth evidence from the brics abstract studies proved that output growth is mainly associated with the total factor productivity tfp growth and variables that affect the tfp have an important explanatory power on output in this regards the aim of this study is to examine the causal relationship between different types of energy consumption and tfp growth in the brics from 1992 to 2012 a panel bootstrap granger causality test by konya 2006 68 was employed to investigate the direction of possible connection between energy consumption and tfp growth results show that no remarkable causal link exists between renewable energy consumption and tfp growth in the brics however in the case of non renewables energy consumption creates a positive externality that contributes economic development in brazil and south africa by the growth of tfp as well as energy use itself in this respect policies that promote coal and non renewable electricity consumption in south africa and natural gas consumption in brazil may be beneficial for their economic development

economic potential of biomass based fuels for greenhouse gas emission mitigation use of biofuels diminishes fossil fuelcombustion thereby also reducing net greenhousegas emissions however subsidies are neededto make agricultural biofuel productioneconomically feasible to explore the economicpotential of biofuels in a greenhouse gasmitigation market we incorporate data onproduction and biofuel processing for thedesignated energy crops switchgrass hybridpoplar and willow in an u s agriculturalsector model along with data on traditionalcrop livestock production and processing andafforestation of cropland net emissioncoefficients on all included agriculturalpractices are estimated through crop growthsimulation models or taken from the literature potential emission mitigation policies ormarkets are simulated via hypothetical carbonprices at each carbon price level theagricultural sector model computes the newmarket equilibrium revealing agriculturalcommodity prices regionally specificproduction input use and welfare levels environmental impacts and adoption ofalternative management practices such asbiofuel production results indicate no rolefor biofuels below carbon prices of 40 perton of carbon equivalent at these incentivelevels emission reductions via reduced soiltillage and afforestation are more costefficient for carbon prices above 70 biofuels dominate all other agriculturalmitigation strategies

understanding the nature of the risks and the source of the rewards to momentum investing buying recent winners and shorting recent losers guarantees time varying factor exposures in accordance with the performance of common risk factors during the ranking period adjusted for this dynamic risk exposure momentum profits are remarkably stable across subperiods of the entire post 1926 era factor models can explain 95 of winner or loser return variability but cannot explain their mean return components are more profitable than those based on total returns neither industry effects nor cross sectional differences in expected returns are the primary cause of the momentum phenomenon article published by oxford university press on behalf of the society for financial studies in its journal the review of financial studies

estimating the linkage between energy efficiency and productivity abstract many analyses have referred to industrial productivity benefits associated with energy efficiency that are at least as great or larger than the energy benefits if plants with higher energy intensity also tend to have lower productivity then energy policy needs to consider this this study examines this issue for two segments of the glass industry using plant level data from the census bureau productivity is defined by the difference in best practice production efficiency as measured by data envelopment analysis dea this study uses regression analysis to estimate how differences in plant level electricity and fossil fuel intensity i e energy use per unit of production are attributable to differences in plant level productivity and other economic variables like energy prices and cumulative production in every case productivity differences between plants are statistically significant in explaining differences in plant energy intensity the coefficient that links productivity to energy efficiency yields a less than proportional impact for only one industry and fuel type for others the relationship is implies that a 1 increase in productivity increase energy efficiency by more than 1 this effect is statistically significant for flat glass but not container glass the estimates of the price and learning by doing coefficients seem reasonable but without imposing the assumption that all plants in the industry are equally productive this lends further credence to a significant relationship between productivity and energy efficiency

renewable energy consumption and economic growth evidence from a panel of oecd countries abstract this study examines the relationship between renewable energy consumption and economic growth for a panel of twenty oecd countries over the period 1985 2005 within a multivariate framework given the relatively short span of the time series data a panel cointegration and error correction model is employed to infer the causal relationship the heterogeneous panel cointegration test reveals a long run equilibrium relationship between real gdp renewable energy consumption real gross fixed capital formation and the labor force with the respective coefficients positive and statistically significant the granger causality results indicate bidirectional causality between renewable energy consumption and economic growth in both the short and long run

energy consumption and growth in south america evidence from a panel error correction model abstract this study examines the relationship between energy consumption and economic growth for a panel of nine south american countries over the period 1980 2005 within a multivariate framework given the relatively short span of the time series data a panel cointegration and error correction model is employed to infer the causal relationship pedroni s heterogeneous panel cointegration test reveals a long run equilibrium relationship between real gdp energy consumption the labor force and real gross fixed capital formation with the respective coefficients positive and statistically significant the granger causality results indicate both short run and long run causality from energy consumption to economic growth which supports the growth hypothesis

employee stock option exercises an empirical analysis this paper describes the exercise behavior of over 50 000 employees who hold longterm options on employer stock at eight corporations employees typically exercise options years before expiration commonly sacrificing half of the black scholes value exercise is strongly associated with recent stock price movements the market to strike ratio proximity to vesting dates time to maturity volatility and the employee s level within the company these findings have implications for compensation planners the fasb as it develops a new accounting standard for options and financial statement users and preparers who apply and interpret the new fasb standard

on the evolution of the world income distribution the post world war ii period has seen substantial changes in the distribution of gdp per worker around the world in the upper half of the distribution a number of countries have exhibited large increases in income relative to the richest countries in the bottom half several countries have seen incomes fall relative to the richest countries the net result of these changes is a movement in the shape of the world income distribution from something that looks like a normal distribution in 1960 to a bi modal twin peaks distribution in 1988 projecting these changes into the future suggests a number of interesting ndings first it seems likely that the united states will lose its position as the country with the highest level of gdp per worker second growth miracles have been more common in recent decades than growth disasters if these dynamics continue the future income distribution will involve far more rich countries and far fewer poor countries than currently observed

corporate takeovers the efficiency arguments in recent years the tender offer takeover has been praised and damned with a ferocity suggesting that the survival of capitalism is at stake the truth as in most disputes with substantial metaphysical content is more prosaic some takeovers enhance economic efficiency some degrade it and the balance of effects though not fully known is most likely a close one in this essay i try to lay bare the debate s foundations and bring it back to earth with an injection of evidence

takeover threats and managerial myopia this paper examines the familiar argument that takeover pressure can be damaging because it leads managers to sacrifice long term interests in order to boost current profits if stockholders are imperfectly informed temporarily low earnings may cause the stock to become undervalued increasing the likelihood of a takeover at an unfavorable price hence the managerial concern with current bottom line the magnitude of the problem depends on a variety of factors including the attitudes and beliefs of shareholders the extent to which corporate raiders have inside information and the degree to which managers are concerned with retaining control of their firms

from nonrenewable to renewable energy and its impact on economic growth the role of research development expenditures in asia pacific economic cooperation countries abstract this study disaggregates energy i e non renewable and renewable energy consumption and investigates its effect on economic growth the period of 1990 2015 is used to examine asia pacific economic cooperation apec countries this paper determines the cross sectional dependence and employs a second generation panel unit root test for precise estimation westerlund cointegration test is used to examine the long run equilibrium relationship between the variables and confirm the presence of cointegration in the long run the continuously updated fully modified ordinary least square cup fm approaches are applied to investigate long term output elasticities between the variables the results show the stimulating role of energy renewable and nonrenewable consumption in economic growth research and development expenditures and trade openness have a positive effect on economic growth moreover the time series individual country analysis also confirms that renewable energy has a positive impact on economic growth the heterogenous causality analysis reveals the feedback effect i e bidirectional causal associations among economic growth renewable energy consumption and nonrenewable energy consumption this empirical evidence suggests that countries should increase investment in renewable energy sectors and plan for development in renewable energy for sustainable energy growth

economic welfare impacts from renewable energy consumption the china experience over the last years renewable energy sources have increased their share on electricity generation of china due to environmental and security of supply concerns in this work author assesses the role of both the amount and share of renewable energy consumption in economic welfare using cobb douglas type production functions this assessment is carried out by multivariate ols and spss software for china from 1978 to 2008 results indicate that a 1 increase in renewable energy consumption rec increases real gdp by 0 120 gdp per capita by 0 162 per capita annual income of rural households by 0 444 and per capita annual income of urban households by 0 368 respectively the impact of renewable energy consumption share srec on economic welfare is insignificant and an increasing share of rec negatively affects economic welfare growth to a certain extent in this paper the cost structural demand accounting mechanism and policy reasons of renewable energy development are interpreted marginal effects analysis show that the shape of sound and robust renewable energy institutions and policies would matter for increasing the standards of economic welfare in the context of speeding up renewable energy development and increasing share of renewable energy consumption especially the goal oriented policy refinement should be addressed efficiently in improvement households income while increasing share of renewable energy consumption c 2011 elsevier ltd all rights reserved

the disposition effect in securities trading an experimental analysis the disposition effect is the tendency to sell assets that have gained value winners and keep assets that have lost value losers disposition effects can be explained by the two features of prospect theory the idea that people value gains and losses relative to a reference point the initial purchase price of shares and the tendency to seek risk when faced with possible losses and avoid risk when a certain gain is possible our experiments were designed to see if subjects would exhibit disposition effects subjects bought and sold shares in six risky assets asset prices fluctuated in each period contrary to bayesian optimization subjects did tend to sell winners and keep losers when the shares were automatically sold after each period the disposition effect was greatly reduced

productivity growth technical progress and efficiency change in industrialized countries this paper analyzes productivity growth in 17 oecd countries over the period 1979 1988 a nonparametric programming method activity analysis is used to compute malmquist productivity indexes these are decomposed into two component measures namely technical change and efficiency change we find that u s productivity growth is slightly higher than average all of which is due to technical change japan s productivity growth is the highest in the sample with almost half due to efficiency change jel c43 d24 in this paper we apply recently developed

energy consumption and gdp in turkey is there a co integration relationship energy consumption and gdp are expected to grow by 5 9 and 7 annually until 2025 in turkey this paper tries to unfold the linkage between energy consumption and gdp by undertaking a co integration analysis for turkey with annual data over the period 1970 2003 the analysis shows that energy consumption and gdp are co integrated this means that there is a possibly bi directional causality relationship between the two we establish that there is a unidirectional causality running from gdp to energy consumption indicating that energy saving would not harm economic growth in turkey in addition we find that energy consumption keeps on growing as long as the economy grows in turkey

renewable energy consumption and growth in eurasia this study examines the causal relationship between renewable energy consumption and economic growth for 13 countries within eurasia over the period 1992 2007 within a multivariate panel data framework the heterogeneous panel cointegration test reveals a long run equilibrium relationship exists between real gdp renewable energy consumption real gross fixed capital formation and labor force the results from the error correction models indicate bidirectional causality between renewable energy consumption and economic growth in both the short run and long run thus the empirical findings lend support for the feedback hypothesis of the interdependent relationship between renewable energy consumption and economic growth

energy consumption income and carbon emissions in the united states abstract this paper investigates the effect of energy consumption and output on carbon emissions in the united states earlier research focused on testing the existence and or shape of an environmental kuznets curve without taking energy consumption into account we investigate the granger causality relationship between income energy consumption and carbon emissions including labor and gross fixed capital formation in the model we find that income does not granger cause carbon emissions in the us in the long run but energy use does hence income growth by itself may not become a solution to environmental problems

energy consumption and economic growth in central america evidence from a panel cointegration and error correction model abstract this study examines the relationship between energy consumption and economic growth for six central american countries over the period 1980 2004 within a multivariate framework given the relatively short span of the time series data a panel cointegration and error correction model is employed to infer the causal relationship based on the heterogeneous panel cointegration test by pedroni pedroni p 1999 critical values for cointegration tests in heterogeneous panels with multiple regressors oxford bulletin of economics and statistics 61 653 670 pedroni p 2004 panel cointegration asymptotic and finite sample properties of pooled time series tests with an application to the ppp hypothesis new results econometric theory 20 597 627 cointegration is present between real gdp energy consumption the labor force and real gross fixed capital formation with the respective coefficients positive and statistically significant the granger causality results indicate the presence of both short run and long run causality from energy consumption to economic growth which supports the growth hypothesis

a literature survey on energy growth nexus abstract this paper provides a survey of the recent progress in the literature of energy consumption economic growth and electricity consumption economic growth causality nexus the survey highlights that most empirical studies focus on either testing the role of energy electricity in stimulating economic growth or examining the direction of causality between these two variables although the positive role of energy on growth has become a stylized fact there are some methodological reservations about the results from these empirical studies a general observation from these studies is that the literature produced conflicting results and there is no consensus neither on the existence nor on the direction of causality between energy consumption electricity consumption and economic growth as a policy implication to avoid from conflicting and unreliable results the authors may use the autoregressive distributed lags bounds test two regime threshold co integration models panel data approach and multivariate models including new variables such as real gross fixed capital formation labor force carbon dioxide emissions population exchange rates interest rates etc thus the authors should focus more on the new approaches and perspectives rather than by employing usual methods based on a set of common variables for different countries and different intervals of time

productivity growth and energy consumption in the nigerian manufacturing sector a panel data analysis this paper examines the impact of efficiency in energy consumption on the growth in productivity in the nigerian manufacturing sector the study utilizes a panel data technique covering a period of substantial energy price reviews in nigeria the study shows that for most industries productivity growth has been energy using whereas in a few attempts have been made to switch productivity growth towards energy saving however it will take some time for the effect of current energy pricing policy to permeate the whole manufacturing sector due to the high cost required to invest in energy saving equipment especially in the face of a rapid decline in real income coupled with high product prices

loss aversion under prospect theory a parameter free measurement agrowing body of qualitative evidence shows that loss aversion a phenomenon formalized in prospect theory can explain a variety of field and experimental data quantifications of loss aversion are however hindered by the absence of a general preference based method to elicit the utility for gains and losses simultaneously this paper proposes such a method and uses it to measure loss aversion in an experimental study without making any parametric assumptions thus it is the first to obtain a parameter free elicitation of prospect theory s utility function on the whole domain our method also provides an efficient way to elicit utility midpoints which are important in axiomatizations of utility several definitions of loss aversion have been put forward in the literature according to most definitions we find strong evidence of loss aversion at both the aggregate and the individual level the degree of loss aversion varies with the definition used which underlines the need for a commonly accepted definition of loss aversion