Niroo Research Institute Journal of Energy and Economic Development 2821-2061 1 3 2022 12 01 Electricity Consumption, Capital, Labour, and GDP Growth: An Empirical Evidence from Bangladesh 36 59 186473 10.30503/jeedev.2023.425291.1030 EN Ayatullah Al Musabi Akanda Department of Economics, Government Ashek Mahmud College, Jamalpur-2200, Bangladesh 0000-0002-6876-5849 Journal Article 2023 11 17 This research examines the short-run, long-run, and joint causal impact of electricity consumption, capital, labour and the GDP growth rate of Bangladesh. Considering previous research, this paper uses the most recent data from 1990 to 2022, when Bangladesh's economy was more stable and experienced continuous growth. Capital and labour are incorporated with electricity to overcome the omitted variable in the growth assessment. Methodologically, the ARDL bound test and Johansen cointegration analysis were used to examine whether electricity and GDP have a long-run association. After that, short-run relationships were examined in both cases. The causality direction identified by the Toda-Yamamoto test addresses the shortcomings of Granger causality. All the methodological steps and tests were further assessed on model stability, serial correlation, normality, and homoskedasticity. Hence, the findings are more robust and policy-oriented. Research findings show unidirectional causality from electricity, capital, and labour to GDP individually and jointly. Hence, all three components should give commensurate importance. Therefore, instead of expensive, heavily subsidised, and short-run solutions, Bangladesh should look at the long-run and cost-effective alternatives for electricity sources. https://jeedev.nri.ac.ir/article_186473_5926a94401b634f96beb6e4152c30ad0.pdf