The Role of Boom and Recession in Energy Consumption of Sectors with Emphasis on Electricity and Non-Electricity

Subject Areas : Labor and Demographic Economics

shahryar zaroki ¹ (Associate Professor, Department of Economics, Mazandaran University, Babolsar, Iran)
Akram Moghadasi Sedehi ² (Graduate of Energy Economics, Mazandaran University, Babolsar, Iran)

Received: 2020-05-01 Accepted : 2021-07-04 Published : 2021-05-22

Keywords: Iran, Nonlinear, JEL Classification: Q43, Q33, C15. Keywords: Boom and Recession, Electricity and Non-Electricity,

Abstract :

The purpose of this study is to investigate the effect of boom and recession with energy prices on energy consumption (electricity, non-electricity and total) in Iran with an asymmetric method. For this purpose, for asymmetric analysis in the research model in three formats (based on total energy consumption, non-electricity and electricity) and five levels (total economy and household, commercial, public and industrial sectors) of asymmetric explanations, an nonlinesr autoregressive distributed lag approach has been used. Long-term results indicate that economic boom in every 15 estimates has a direct impact on energy consumption and in terms of size, in most cases, the elasticity of energy consumption relative to economic boom is greater than one. However, the recession is associated with a significant (and of course direct) effect in only 4 out of 15 estimates, and its impact is less than the economic boom. In the first format, at the level of the whole economy and at the level of the commercial, public and industrial sectors, production has an asymmetric effect, and at the household level, production has a symmetrical effect on total energy consumption. In the second format, at the level of the whole economy and at the level of the household, commercial and public sectors, production has an asymmetric effect and at the industry level, production has a symmetrical effect on non-electricity energy consumption. In the third format, at all five levels, production has an asymmetric effect on electricity consumption. The real energy price, although in ...

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