Does energy consumption follow asymmetric behavior? An assessment of Ghana's energy sector dynamics

Samuel Asumadu Sarkodie*, Aba Obrumah Crentsil, Phebe Asantewaa Owusu

*Corresponding author for this work

    Research output: Contribution to journalArticle

    10 Citations (Scopus)

    Abstract

    The study answered the following questions: First, does energy evolves in different regimes by transitioning over a finite set of unobserved states? Second, does energy consumption follow an asymmetric behavior over “energy boom” and energy scarcity? and, Third, are there unobserved factors underpinning energy crisis? We employed Markov-switching dynamic regression to examine the asymmetric effect, NIPALS regression to examine energy determinants and neural network analysis for prediction. The neural network model suggests a 99% prediction of energy consumption by the predictor variables. It was evident that energy consumption evolves in two states by transitioning over a finite set of unobserved states. The 11.6% growth in energy consumption is expected to occur in 4.1 years while energy crisis is expected to last for 3.7 years. Technological advancement and the development of green energy through foreign direct investment are essential to improve energy sector portfolio.

    Original languageEnglish
    Pages (from-to)2886-2898
    Number of pages13
    JournalScience of the Total Environment
    Volume651
    Issue number2
    DOIs
    Publication statusPublished - 15 Feb 2019

    Keywords

    • Energy efficiency
    • Ghana
    • Markov-switching
    • Neural network
    • NIPALS

    Fingerprint Dive into the research topics of 'Does energy consumption follow asymmetric behavior? An assessment of Ghana's energy sector dynamics'. Together they form a unique fingerprint.

  • Cite this