The study examined causality using static and dynamic frameworks, by considering energy consumption, C02 emissions and economic growth for India. It used the Granger approach (VECM framework) along with the Dolado and Lütkepohl‟s approach. It found that CO2 Granger-causes GDP while energy consumption does not Grangercause GDP, GDP does not Granger-cause CO2 while energy consumption Granger-causes CO2 emissions, and CO2 emissions Granger-causes energy consumption but GDP does not Grangercauses CO2 emissions. This implies that India should opt for policies that stress on energy conservation and efficient utilization of energy.
Available at: http://works.bepress.com/aviral_kumar_tiwari/11/