Abstract
This paper addresses the causal relationship between economic growth, public debt, andenergy supply, using annual panel data analysis over the period 1970-2021 of 21 OECDEuropean countries divided into two groups: GIIPS and Non-GIIPS countries, through a tri-variate causality model. The findings confirm a strong positive relationship between theenergy supply and economic growth, but also a negative relationship between the public debtand economic growth on the long-term using a vector error correction model. Grangercausality’s outcomes show evidence that the panel causality relationships for the Non-GIIPScountries follow the same path and directions for the full sample, emphasizing that theeconomic policies for these countries rely on the energy supply which is a fundamental factorfor economic growth and living standards.