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This study mainly attempts to cast light into the dynamic relationships between coal consumption, economic growth, energy price and technological innovation in Turkey over the period of 1980-2015. Based on the results drawing from an autoregressive distributed lag (ARDL) model, coal consumption, economic growth, energy price and technological innovation are cointegrated. Specifically, the empirical results indicate that economic growth positively affects coal consumption, whereas technological innovation negatively affects it over a long-run. Regarding short-run dynamic relationships, economic growth and technological innovation have a positive impact on coal consumption. The results from the autoregressive integrated moving average (ARIMA) model suggest that an annual average growth rate of coal consumption will be 2.02% between 2016 and 2025. Regarding policy implications, the results of this study suggest that policy makers should allocate more resources to research and development on energy technologies to improve energy efficiency in Turkey.

Exploring the Nexus of Coal Consumption, Economic Growth, Energy Prices and Technological Innovation in Turkey