Study on energy consumption ingredients and economic growth in Henan based on co-integration and granger test

Abstract

Taking Henan as an example, using co-integration analysis and Granger causality test, on the basis of the data of 1980–2008, this paper discusses the relationship between the main energy consumption ingredients and the economic growth in Henan province. The result shows that there is a stable positive equilibrium relationship between the petroleum and gas consumption and the economic growth in the long term, and in one direction from the economic growth to energy consumption; but no any Granger causality between the economic growth and the coal and electrical power consumption.