Full Title: Electricity supply shocks and economic growth across the US states: evidence from a time-varying Bayesian panel VAR model, aggregate and disaggregate energy sources
Author(s): Nicholas Apergis and Michael Polemis
Publisher(s): Munich Personal RePEc Archive (MPRA)
Publication Date: March 1, 2018
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Description (excerpt):
This paper investigates spillovers between electricity supply shocks and US growth,
using monthly data from 48 US States, spanning the period January 2001-September
2016, while employs a novel strategy for electricity supply shocks based on a timevarying
Bayesian panel VAR model. It accounts for the decomposition of electricity
supply per fuel mixture and links its possible interactions with the US macroeconomic
conditions. In that sense, the methodology models the coefficients as a stochastic
function of multiple structural characteristics. The findings document that GDP growth
increases after a positive electricity supply shock, irrelevant to the source of energy that
generates it.