  Energy usage and GDP have been the subject of numerous studies over the past
decades. It has been overlooked by previous studies that energy consumption
correlates with economic growth in relation to GDP. This study uses threshold
regression and Granger causality testing to identify GDP-dependent causality in
ten OECD countries over the last 10 years. There is a significant correlation
between economic growth and energy consumption. Energy consumption and
short-term economic growth are statistically significantly correlated. There is
a significant positive effect of energy consumption (EC) on GDP in the short
run below the threshold of $10,936 USD since the coefficient is 3.34 and the
p-value is 0.0252. There is a -0.0127-correlation coefficient and a 0.0327
p-value associated with GDP Granger-cause EC over the long run. EC and GDP are
not causally related for GDP per capita above $10,936 USD. In the long run, GDP
Granger causes EC with a coefficient of -0.1638 and a p-value of 0.0675.
According to the study, sustainable development requires sustainable use of
natural resources, technological investment, foreign direct investment, and
gross fixed capital formation. Economic growth can be boosted while adhering to
sustainability goals by implementing these recommendations.
