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Energy and Economic Growth: The Stylized Facts

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  • Zsuzsanna Csereklyei, M. d. Mar Rubio-Varas, and David I. Stern

Abstract

We summarize what we know about energy and economic growth in a set of stylized facts. We combine analysis of a panel data set of 99 countries from 1971 to 2010 with analysis of some longer run historical data. Our key result is that over the last 40 years there has been a stable cross-sectional relationship between per capita energy use and income per capita with an elasticity of energy use with respect to income of less than unity. This implies that energy intensity has tended to decrease in countries that have become richer but not in others. We also find that over the last two centuries there has been convergence in energy intensity towards the current distribution, per capita energy use has tended to rise and energy quality to increase, and, though evidence is limited, the cost share of energy has declined.

Suggested Citation

  • Zsuzsanna Csereklyei, M. d. Mar Rubio-Varas, and David I. Stern, 2016. "Energy and Economic Growth: The Stylized Facts," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2).
  • Handle: RePEc:aen:journl:ej37-2-stern
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    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
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      by noreply@blogger.com (David Stern) in Stochastic Trend on 2016-06-01 08:40:00
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    3. How Accurate are Projections of Energy Intensity?
      by noreply@blogger.com (David Stern) in Stochastic Trend on 2017-04-27 02:17:00
    4. Data and Code for "Energy and Economic Growth: The Stylized Facts" and an Erratum
      by noreply@blogger.com (David Stern) in Stochastic Trend on 2017-11-24 06:31:00

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    3. David I. Stern, 2017. "How accurate are energy intensity projections?," Climatic Change, Springer, vol. 143(3), pages 537-545, August.
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    11. Burke, Paul J. & Csereklyei, Zsuzsanna, 2016. "Understanding the energy-GDP elasticity: A sectoral approach," Energy Economics, Elsevier, pages 199-210.
    12. Sebestyénné Szép, Tekla, 2016. "Energetikai konvergencia az Energia 2020 stratégia tükrében. A konvergenciaszámítások alkalmazásának egy alternatív lehetősége
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    23. Fouquet, Roger, 2016. "Lessons from energy history for climate policy: technological change, demand and economic development," LSE Research Online Documents on Economics 67785, London School of Economics and Political Science, LSE Library.
    24. Cherp, Aleh & Vinichenko, Vadim & Jewell, Jessica & Suzuki, Masahiro & Antal, Miklós, 2017. "Comparing electricity transitions: A historical analysis of nuclear, wind and solar power in Germany and Japan," Energy Policy, Elsevier, vol. 101(C), pages 612-628.
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