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What causes the change in energy demand in the economy?: The role of technological change

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  • Okushima, Shinichiro
  • Tamura, Makoto
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    Abstract

    This paper proposes a simple and theoretically clear approach to the estimation of technological change in a multisector general equilibrium framework. This study employs the Multiple Calibration Decomposition Analysis (MCDA) to evaluate technological change that is responsible for changes in energy use and carbon dioxide emissions in the Japanese economy in the oil crises period from 1970 to 1985. The MCDA serves as an elementary way of separating structural change due to technological change from that due to price substitution effects, capturing the interdependence among economic sectors. The empirical result provides a better understanding of the effects on the economy of technological change in that significant period.

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    File URL: http://www.sciencedirect.com/science/article/B6V7G-4W0R0MF-1/2/fb1aa8677719fd9dc4a0f5bc6920eae3
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    Bibliographic Info

    Article provided by Elsevier in its journal Energy Economics.

    Volume (Year): 32 (2010)
    Issue (Month): Supplement 1 (September)
    Pages: S41-S46

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    Handle: RePEc:eee:eneeco:v:32:y:2010:i:supplement1:p:s41-s46

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    Web page: http://www.elsevier.com/locate/eneco

    Related research

    Keywords: Calibration Carbon dioxide emissions Energy use General equilibrium model Technological change;

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    Cited by:
    1. Okushima, Shinichiro & Tamura, Makoto, 2011. "Identifying the sources of energy use change: Multiple calibration decomposition analysis and structural decomposition analysis," Structural Change and Economic Dynamics, Elsevier, vol. 22(4), pages 313-326.

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