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International Comparisons of Sectoral Energy- and Labour-Productivity Performance: Stylised Facts and Decomposition of Trends

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  • Peter Mulder

    ()
    (International Institute for Applied Systems Analysis, Laxenburg, Austria)

  • Henri L.F. de Groot

    ()
    (Faculty of Economics and Business Administration, Vrije Universiteit Amsterdam)

Abstract

This paper addresses the interplay between economic growth, energy use, change in sectoral composition and technological change, by exploring trends in energy- and labour productivity development for 14 OECD countries and four sectors over the period 1970-1997. A cross-country decomposition analysis reveals that in some countries structural changes contributed considerably to macroeconomic energy-productivity growth while in other countries they partly offset energy-efficiency improvements. In contrast, structural changes only play a minor role in explaining macroeconomic labour-productivity developments. We also find labour productivity growth to be higher on average than energy productivity growth. Over time, this bias towards labour productivity growth is increasing in Transport, Agriculture and Manufacturing, while it is decreasing in Services.

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Bibliographic Info

Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 04-007/3.

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Date of creation: 13 Jan 2004
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Handle: RePEc:dgr:uvatin:20040007

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Keywords: energy productivity; labour productivity; convergence; sectoral analysis; decomposition analysis;

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  1. Peter Mulder & Henri Groot, 2007. "Sectoral Energy- and Labour-Productivity Convergence," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 36(1), pages 85-112, January.
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  10. Smulders, J.A. & Nooij, M. de, 2003. "The impact of energy conservation on technology and economic growth," Open Access publications from Tilburg University urn:nbn:nl:ui:12-123121, Tilburg University.
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  17. Ang, B.W. & Zhang, F.Q., 2000. "A survey of index decomposition analysis in energy and environmental studies," Energy, Elsevier, vol. 25(12), pages 1149-1176.
  18. Miketa, Asami, 2001. "Analysis of energy intensity developments in manufacturing sectors in industrialized and developing countries," Energy Policy, Elsevier, vol. 29(10), pages 769-775, August.
  19. Eichhammer, Wolfgang & Wilhelm, Mannsbart, 1997. "Industrial energy efficiency : Indicators for a European cross-country comparison of energy efficiency in the manufacturing industry," Energy Policy, Elsevier, vol. 25(7-9), pages 759-772.
  20. Jorgenson, Dale W, 1984. "The Role of Energy in Productivity Growth," American Economic Review, American Economic Association, vol. 74(2), pages 26-30, May.
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Citations

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Cited by:
  1. Liu, Na & Ang, B.W., 2007. "Factors shaping aggregate energy intensity trend for industry: Energy intensity versus product mix," Energy Economics, Elsevier, vol. 29(4), pages 609-635, July.
  2. Peter Mulder & Henri Groot, 2007. "Sectoral Energy- and Labour-Productivity Convergence," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 36(1), pages 85-112, January.
  3. Henri de Groot & Peter Mulder, 2011. "Dutch Sectoral Energy Intensity Developments in International Perspective, 1987–2005," CPB Discussion Paper 190, CPB Netherlands Bureau for Economic Policy Analysis.
  4. Miketa, Asami & Mulder, Peter, 2005. "Energy productivity across developed and developing countries in 10 manufacturing sectors: Patterns of growth and convergence," Energy Economics, Elsevier, vol. 27(3), pages 429-453, May.

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