Previous studies have found mixed results on the impact of electricity availability on economic growth.
This paper finds that initial levels of electricity consumption, access, and quality have not had significant impacts on economic growth in the decade to 2015 on average when controlling for other variables. There is weak evidence of a negative impact of higher electricity transmission and distribution losses on economic growth for low and middle-income countries, although it is challenging to identify separate effects of electricity losses due to potential correlation with governance attributes.
The paper uses a cross-sectional regression approach with an extensive list of controls and focuses on economic growth for the 10 years to 2015 rather than assessing annual data. The seminar will also involve an overview of Rohan Best’s thesis findings.