How Renewable Energy Consumption is Linked to Economic Growth In Morocco 1990-2021: The Toda- Yamamoto Approach

Résumé

This study explores the intricate relationship between renewable energy (RE) consumption and economic growth (GDP) in Morocco, aiming to position RE as a primary driver for GDP expansion while mitigating dependence on fossil fuel imports. Utilizing annual data from 1990 to 2021, the Toda-Yamamoto causality test is applied to unravel the dynamic interconnection between RE consumption and GDP. The findings unveil a noteworthy unidirectional causality, wherein GDP influences RE consumption, signaling that RE has not yet attained the autonomy to propel GDP growth independently. This departure from conventional assumptions underscores the need for a nuanced understanding of the intricate mechanisms linking renewable energy and economic growth. The outcomes of this research bear significant implications for policymakers and economists, offering a critical lens to reevaluate current policies and explore alternative pathways through which RE can become a potent driver of economic growth in Morocco. The study contributes to the discourse on sustainable energy development and underscores the importance of tailored policies that consider the multifaceted dynamics between renewable energy integration and economic advancement.