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Estimates of the demand for energy using cross-country consumption data

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  • Paul Brenton

Abstract

Using cross-country consumption data we estimate a system of demand equations in a piecewise manner to investigate whether price and expenditure elasticities for energy differ between broad groups of countries. The empirical results reject the assumption of constant parameters across regimes of poor and rich countries. The derived elasticities suggest that the own-price elasticity for energy is higher in poor than in rich countries. We find no evidence for the commonly held view that expenditure elasticities for energy decline with income.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 29 (1997)
Issue (Month): 7 ()
Pages: 851-859

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Handle: RePEc:taf:applec:v:29:y:1997:i:7:p:851-859

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Cited by:
  1. Seale, James L. & Solano, Alexis A., 2012. "The changing demand for energy in rich and poor countries over 25years," Energy Economics, Elsevier, vol. 34(6), pages 1834-1844.
  2. Ngui, Dianah & Mutua, John & Osiolo, Hellen & Aligula, Eric, 2011. "Household energy demand in Kenya: An application of the linear approximate almost ideal demand system (LA-AIDS)," Energy Policy, Elsevier, vol. 39(11), pages 7084-7094.
  3. Seán Lyons & Karen Mayor & Richard S.J. Tol, 2007. "Convergence of Consumption Patterns During Macroeconomic Transition: A Model of Demand in Ireland and the OECD," Papers WP205, Economic and Social Research Institute (ESRI).
  4. Narayan, Paresh Kumar & Smyth, Russell, 2007. "A panel cointegration analysis of the demand for oil in the Middle East," Energy Policy, Elsevier, vol. 35(12), pages 6258-6265, December.
  5. Iwayemi, Akin & Adenikinju, Adeola & Babatunde, M. Adetunji, 2010. "Estimating petroleum products demand elasticities in Nigeria: A multivariate cointegration approach," Energy Economics, Elsevier, vol. 32(1), pages 73-85, January.
  6. Yu Sheng & Xunpeng Shi, . "Economic Development, Energy Market Integration and Energy Demand: Implication for East Asia," Chapters, Economic Research Institute for ASEAN and East Asia (ERIA).
  7. Saten Kumar, 2011. "Cointegration and the demand for energy in Fiji," International Journal of Global Energy Issues, Inderscience Enterprises Ltd, vol. 35(1), pages 85-97.
  8. Castro Martins, Maria Lurdes, 2003. "International differences in telecommunications demand," Information Economics and Policy, Elsevier, vol. 15(3), pages 291-303, September.
  9. De Vita, G. & Endresen, K. & Hunt, L.C., 2006. "An empirical analysis of energy demand in Namibia," Energy Policy, Elsevier, vol. 34(18), pages 3447-3463, December.
  10. Branston, J. R., 2000. "A counterfactual price analysis of British electricity privatisation," Utilities Policy, Elsevier, vol. 9(1), pages 31-46, March.
  11. Nourah Al Yousef, 2013. "Demand for Oil Products in OPEC Countries: A Panel Cointegration Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 3(2), pages 168-177.

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