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Elasticity of Energy Demand and Challenges for China's Energy Industry

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  • Jason Zunsheng Yin
  • David Forrest Gates

Abstract

The rapid growth of energy demand, the lagging growth of energy production and rising pollution problems have raised concerns in several policy areas, including the availability and cost of energy supply and the possibility of further adverse impacts on the environment. This paper begins with an overview of recent developments in energy demand and supply in China. Using a traditional demand elasticity approach, it analyzes the elasticity of each of four major energy end uses and the potential for adjustments in their relationships. The paper concludes with suggestions for public policy to meet the challenge of growing energy demand and implications for the private sector, including both private and foreign investments. (Edited by Zhinan Zhang)

Suggested Citation

  • Jason Zunsheng Yin & David Forrest Gates, 2006. "Elasticity of Energy Demand and Challenges for China's Energy Industry," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 14(4), pages 75-92, August.
    • Handle: RePEc:bla:chinae:v:14:y:2006:i:4:p:75-92
    DOI: 10.1111/j.1749-124X.2006.00031.x
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