Evidence of Long Memory Behavior in U.S. Renewable Energy Consumption
Sep 21, 2012
Articles in journals
Barros, C., Payne, J., Gil Alana, L.
This study examines the degree of time persistence in Us total renewable energy consumption using innovative fractional integration and autoregressive models with monthly data from 1981:1 to 2010:10. the results indicate that renewable energy consumption is better explained in terms of a long memory model that incorporates persistence components and seasonality. The degree of integration is above 0.5 but below 1.0 suggestion non-stationarity with mean reverting behavior. The presence of long memory behavior (persistence) in renewable energy consumption suggest that random shocks may very well move renewable energy consumption from pre-determined target levels for a period of time
Renewable energy consumption,long memory,persistence,