Inderscience Publishers

Is energy–led economic growth causing climatic shift? A causal analysis for India

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This paper examines the proposition that the climatic shift has been responsible for creating adverse effects on economic growth, and the authors have analysed this situation for India. They consider the number of oceanic storms in the Indian Ocean and the annual mean temperature of India for the 1971–2010 periods. Using vector error correction and causality analysis, they have tried to identify the impact of India's fossil fuel–based energy consumption on climatic shift, and have found significant unidirectional and bidirectional causal associations between parameters of climatic shift and drivers of economic growth. The links identified in this paper largely address the missing feedback link issue in the environmental Kuznets curve hypothesis.

Keywords: climatic shift, fossil fuel consumption, energy consumption, ocean storms, surface temperature, El Niň, o, India, error correction, environmental Kuznets curve, EKC, economic growth, climate change

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