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Economic Development and the Structure of the Demand for Commercial Energy

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Author Info
Ruth A. Judson
Richard Schmalensee
Thomas M. Stoker
Abstract

To deepen understanding of the relation between economic development and energy demand, this study estimates the relations between per-capita GDP5 and per-capita energy consumption in major economic sectors. Panel data covering up to 123 nations are employed, and measurement problems are treated both in dataset construction and in estimation. Time and country fixed effects are assumed, and flexible forms for income effects are employed. There are substantial differences among sectors in the structure of country, time, and income effects. In particular, the household sector's share of aggregate energy consumption tends to fall with income, the share of transportation tends to rise, and the share of industry follows an inverse-U pattern.

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Publisher Info
Article provided by International Association for Energy Economics in its journal The Energy Journal.

Volume (Year): 20 (1999)
Issue (Month): 2 ()
Pages: 29-58
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Handle: RePEc:aen:journl:1999v20-02-a02

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F0 - International Economics - - General

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  1. Brantley Liddle, 2003. "Demographic dynamics and per capita environmental impact: using panel regressions and household decompositions to examine population and transport," MPIDR Working Papers WP-2003-029, Max Planck Institute for Demographic Research, Rostock, Germany. [Downloadable!]
  2. Gately, D. & Huntington, H.G., 2001. "The Asymmetric Effects of Changes in Price and Income on Energy and Oil Demand," Working Papers 01-01, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
  3. David I. Stern, 2003. "The Rise and Fall of the Environmental Kuznets Curve," Rensselaer Working Papers in Economics 0302, Rensselaer Polytechnic Institute, Department of Economics. [Downloadable!]
    Other versions:
  4. David I. Stern & Cutler J. Cleveland, 2004. "Energy and Economic Growth," Rensselaer Working Papers in Economics 0410, Rensselaer Polytechnic Institute, Department of Economics. [Downloadable!]
  5. Aldy, Joseph E., 2006. "Energy and Carbon Dynamics at Advanced Stages of Development: An Analysis of the U.S. States, 1960–1999," Discussion Papers dp-06-13, Resources For the Future. [Downloadable!]
  6. Theodoros Zachariadis, 2006. "On the exploration of casual relationship between energy and economy," University of Cyprus Working Papers in Economics 5-2006, University of Cyprus Department of Economics. [Downloadable!]
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