This paper investigates dynamics of the natural gas industry and economic growth in Mozambique for the period of 1999 to 2015. Times series data is collected from Index Mundi, produced by World Bank and it includes export and labor. This study employs Error Correction model. Results report that the natural gas industry, export, and labor are positively cointegrated with economic growth, and they have a long-run relationship. In a short-run term, results revealed that the natural gas industry has a positive effect and it is significant to influence economic growth in Mozambique. However, on the other hand, export and labor contribution to economic growth is small. The study recommends that government should implement a growth policy for the natural gas industry because it would stimulate economic growth. In Mozambique, the natural gas industry will experience foremost dynamics with the production of natural gas in Rovuma Basin scheduled to start by 2022, and it will play a great role to promote the economic growth in the upcoming future.
| Published in | Science Journal of Energy Engineering (Volume 5, Issue 3) |
| DOI | 10.11648/j.sjee.20170503.13 |
| Page(s) | 68-77 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2017. Published by Science Publishing Group |
Natural Gas Industry, Economic Growth, Rovuma Basin Natural Gas, Error Correction Model, Mozambique
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APA Style
Abdul Gafur Nazordine Mahomed Bay, Liang Hong. (2017). Dynamics of the Natural Gas Industry and Economic Growth in Mozambique. Science Journal of Energy Engineering, 5(3), 68-77. https://doi.org/10.11648/j.sjee.20170503.13
ACS Style
Abdul Gafur Nazordine Mahomed Bay; Liang Hong. Dynamics of the Natural Gas Industry and Economic Growth in Mozambique. Sci. J. Energy Eng. 2017, 5(3), 68-77. doi: 10.11648/j.sjee.20170503.13
AMA Style
Abdul Gafur Nazordine Mahomed Bay, Liang Hong. Dynamics of the Natural Gas Industry and Economic Growth in Mozambique. Sci J Energy Eng. 2017;5(3):68-77. doi: 10.11648/j.sjee.20170503.13
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Download@article{10.11648/j.sjee.20170503.13,
author = {Abdul Gafur Nazordine Mahomed Bay and Liang Hong},
title = {Dynamics of the Natural Gas Industry and Economic Growth in Mozambique},
journal = {Science Journal of Energy Engineering},
volume = {5},
number = {3},
pages = {68-77},
doi = {10.11648/j.sjee.20170503.13},
url = {https://doi.org/10.11648/j.sjee.20170503.13},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.sjee.20170503.13},
abstract = {This paper investigates dynamics of the natural gas industry and economic growth in Mozambique for the period of 1999 to 2015. Times series data is collected from Index Mundi, produced by World Bank and it includes export and labor. This study employs Error Correction model. Results report that the natural gas industry, export, and labor are positively cointegrated with economic growth, and they have a long-run relationship. In a short-run term, results revealed that the natural gas industry has a positive effect and it is significant to influence economic growth in Mozambique. However, on the other hand, export and labor contribution to economic growth is small. The study recommends that government should implement a growth policy for the natural gas industry because it would stimulate economic growth. In Mozambique, the natural gas industry will experience foremost dynamics with the production of natural gas in Rovuma Basin scheduled to start by 2022, and it will play a great role to promote the economic growth in the upcoming future.},
year = {2017}
}
TY - JOUR T1 - Dynamics of the Natural Gas Industry and Economic Growth in Mozambique AU - Abdul Gafur Nazordine Mahomed Bay AU - Liang Hong Y1 - 2017/10/23 PY - 2017 N1 - https://doi.org/10.11648/j.sjee.20170503.13 DO - 10.11648/j.sjee.20170503.13 T2 - Science Journal of Energy Engineering JF - Science Journal of Energy Engineering JO - Science Journal of Energy Engineering SP - 68 EP - 77 PB - Science Publishing Group SN - 2376-8126 UR - https://doi.org/10.11648/j.sjee.20170503.13 AB - This paper investigates dynamics of the natural gas industry and economic growth in Mozambique for the period of 1999 to 2015. Times series data is collected from Index Mundi, produced by World Bank and it includes export and labor. This study employs Error Correction model. Results report that the natural gas industry, export, and labor are positively cointegrated with economic growth, and they have a long-run relationship. In a short-run term, results revealed that the natural gas industry has a positive effect and it is significant to influence economic growth in Mozambique. However, on the other hand, export and labor contribution to economic growth is small. The study recommends that government should implement a growth policy for the natural gas industry because it would stimulate economic growth. In Mozambique, the natural gas industry will experience foremost dynamics with the production of natural gas in Rovuma Basin scheduled to start by 2022, and it will play a great role to promote the economic growth in the upcoming future. VL - 5 IS - 3 ER -
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