Convergence of Electricity Consumption in Turkey : Spatial Panel Data Analysis

The issue of convergence has been discussed in many theoretical and empirical studies. Because per capita electricity consumption is considered as an indication of economic growth and development, this study aims to test the presence of “absolute and conditional beta convergence” of per capita electricity consumption among the provinces of Turkey between 1986 and 2013. Using the spatial panel data model, our findings show evidence of absolute beta-convergence of per capita electricity consumption among the provinces of Turkey. We conclude that regional policies are successful in reducing the regional disparities in per capita electricity consumption among the provinces of Turkey