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B Ouédraogo
M Hassane 

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B Ouédraogo
M Hassane

Issues in Business Management and Economics
Vol.2 (11), pp. 193-200, November 2014
ISSN 2350-157X
Article ID 14/BM124/08/ pages
Copyright © 2014 Author(s) retain the copyright of this article. Author(s) agree that this article remain permanently open access under the terms of the Creative Commons Attribution License 4.0 International License

Original Research Article

Co-integration and causality between GDP, employment and energy consumption: Empirical evidence on the WAEMU countries

Boukary Ouédraogo1* and Mamoudou Hassane2

1CEDRES, Université Ouaga 2, Burkina Faso.
2Department of Economics, University Abdou Moumouni of Niamey, Niger.

*Corresponding Author E-mail: boukary.ouedraogo(at)

date Received:     date Accepted: November 11, 2014     date Published:


This  article uses data from the West African Economic and Monetary Unions (WAEMU) zone for the period 1979-2010 to examine the causal relationships between GDP per employee and energy consumption on one hand, and the relationship between employment and energy on the other hand. The importance of energy consumption in the WAEMU zone is derived from the inadequacy of energetical resources compared with needs of economic activities. Therefore, for the robustness of the empirical results, we used Phillips-Perron tests to determine the level of integration of variables. The results drawn from these tests led to the conclusion that the series are stationary with the exception of GDP per employment which is integrated in order 1. The Hsiao’s Granger causality method show the existence of a one-way relationship between GDP per employee on one hand, and between energy consumption and the variables employment and consumption of energy on the other hand. This is a good reference for policy makers to well define the energy strategies of the WAEMU zone.

JEL Classification: C13, C50, C52, E23, E24, Q41,

Key words: Energy, GDP, Employment, Causality, Co-integration, WAEMU

Ouédraogo and Hassane