Abstract
By using the granger causality test and impulse response function, this paper analyzed the causal, dynamic and quantitative relations between rural energy consumption and economic growth on the basis of the data from 1980 to 2007 in China, and then drawn a conclusion that rural economic growth is the granger cause of rural energy consumption with a lag of 5 years; rural economic growth has a direct influence on the rural energy consumption. Its contribution is gradually increasing year by year, and it has already reached 22.117% at period 10. Based on this conclusion, this paper considered that the new point of rural economy should be explored; the construction of rural energy should be strengthened; the energy conservation awareness of farmers should be promoted; and the structure of rural energy consumption should be changed.
Highlights
As energy consumption increased rapidly along with the economic growth in China, the relevant data shows that China has already been the world’s second-largest energy consumer
In order to do a dynamic analysis of the impact of rural economic growth on rural energy consumption, it is necessary to analysis the impulse response of rural energy consumption to rural economic growth by the impulse response function based on the foregoing VAR model, the result can be seen in figure 2
Based on the results of the analysis above, this paper can infer that the change of rural economic growth is a granger cause of the change of rural energy consumption in china, but rural energy consumption does not granger cause rural economic growth
Summary
As energy consumption increased rapidly along with the economic growth in China, the relevant data shows that China has already been the world’s second-largest energy consumer. China’s economy has been increasing year by year, but the energy reserves are limited, how to eliminate the obstacles between energy shortage and economic growth has become a key work for national economy presently. It is of great importance to vigorously develop the economic mode based on low energy consumption, low-pollution and low-emission, increase the rate of rural energy utilization, adjust the structure of energy consumption, and spread innovative energy technology as well as emission reduction technology. Corresponding to the rapid development of farming, forestry, animal husbandry and fishery, close relationship between rural economic growth and rural energy consumption has been established. To do empirical analysis of the relations between rural energy consumption and rural economic growth have practical significance and theoretical value
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