Akademik Veri Yönetim Sistemi
Journal of the Knowledge Economy, 2025 (Scopus)
This study investigates the dynamic relationship between energy consumption, economic growth, and labor force in G7 countries from 1970 to 2019, with a particular focus on the transition to a knowledge-based economy. Using advanced panel data analysis techniques, including Bai and Perron’s (Econometrica, 47–78 1998, Journal of Applied Econometrics 18 1 1 22 2003) structural breaks test and various panel unit root and cointegration tests, the study addresses model specification errors and time-varying coefficients to capture the complex, evolving interactions between these variables. The findings emphasize the critical role of incorporating structural breaks in panel data to ensure model consistency and avoid bias. The analysis reveals three distinct regimes, each characterized by changing effects of energy consumption and labor force on economic growth. Between 1970 and 1981, economic growth was significantly driven by energy consumption, while the labor force had an insignificant impact. From 1982 to 1992, the interaction between energy consumption and labor force strengthened, driven by technological advancements that enhanced productivity and facilitated knowledge diffusion. However, post-1992, the impact of energy consumption on economic growth diminished, signaling the pivotal role of a skilled labor force and human capital in the era of advanced technology and knowledge-intensive industries. This regime shift reflects the increasing importance of knowledge creation, diffusion, and application in driving sustainable economic growth, aligning with the core themes of the knowledge-based economy. Generally, we found the answer to an interesting question in this study by modeling regime change of the relationship between energy consumption, labor force, and economic growth: When did the labor force replace energy?