Sabine Messner () (International Institute for Applied Systems Analysis, A-2361 Laxenburg, Austria)
Abstract
Technology dynamics is endogenized into a bottom-up energy systems model. Mixed integer programming is used to incorporate into the model the non-convex relation between declining specific investment in energy technologies and overall experience or capacities installed. The initial results achieved with this approach show the importance of early investment in new technology developments. New technologies will not become cheaper irrespective of research, development, and demonstration (RD & D) decisions; they will do so only if determined RD&D policies and investment strategies enhance their development.
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Find related papers by JEL classification: C61 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Optimization Techniques; Programming Models; Dynamic Analysis O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes
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