Energy Consumption Forecast in China based on the Relationship between Economy Growth and Energy Consumption

This paper focuses on the relationship between economy growth and energy consumption based on the data of China from 1978 to 2008,and finds that GDP is the Granger Cause of the energy consumption and economy growth and the energy consumption expressed the cointegrated condition.The cointegration analysis and Granger Causality Test have been used.The econometric model,from GDP to energy consumption,has been developed by using second-order error correction model.The extent of energy consumption in the next 30 years has been given by using the above model.