The Relationship between Nuclear Power Consumption and Real Output in China

Applying Toda and Yamamoto’s approach within a multivariate framework, this paper investigates the causal relationship between nuclear power consumption and real output. The results suggest suggest that there is presence of a positive significant Granger causality running from real output to nuclear power consumption, but there is no presence of a significant Granger causality running from nuclear power consumption to real output. The finding implies that nuclear power consumption doesn’t affect real output and policies assisting expansion of nuclear power consumption may not hinder real output, while policies promoting real output may boost nuclear power consumption.