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Estimating the effect of urban density on fuel demand

Author

Listed:
  • Karathodorou, Niovi
  • Graham, Daniel J.
  • Noland, Robert B.

Abstract

Much of the empirical literature on fuel demand presents estimates derived from national data which do not permit any explicit consideration of the spatial structure of the economy. Intuitively we would expect the degree of spatial concentration of activities to have a strong link with transport fuel consumption. The present paper addresses this theme by estimating a fuel demand model for urban areas to provide a direct estimate of the elasticity of demand with respect to urban density. Fuel demand per capita is decomposed into car stock per capita, fuel consumption per kilometre and annual distance driven per car per year. Urban density is found to affect fuel consumption, mostly through variations in the car stock and in the distances travelled, rather than through fuel consumption per kilometre.

Suggested Citation

  • Karathodorou, Niovi & Graham, Daniel J. & Noland, Robert B., 2010. "Estimating the effect of urban density on fuel demand," Energy Economics, Elsevier, vol. 32(1), pages 86-92, January.
  • Handle: RePEc:eee:eneeco:v:32:y:2010:i:1:p:86-92
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    References listed on IDEAS

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    3. Liddle, Brantley, 2013. "Urban Density and Climate Change: A STIRPAT Analysis using City-level Data," MPRA Paper 52089, University Library of Munich, Germany.
    4. Fullerton, Thomas M., Jr. & Munoz Sapien, Gabriel & Barraza de Anda, Martha P. & Dominguez Ruvalcaba, Lisbeily, 2011. "Dinámica del Consumo de Gasolina en Ciudad Juárez, Chihuahua
      [Gasoline Consumption Dynamics in Ciudad Juárez, Chihuahua]
      ," MPRA Paper 46853, University Library of Munich, Germany, revised 15 Jun 2012.
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    6. Borge-Diez, David & Colmenar-Santos, Antonio & Pérez-Molina, Clara & López-Rey, África, 2015. "Geothermal source heat pumps under energy services companies finance scheme to increase energy efficiency and production in stockbreeding facilities," Energy, Elsevier, vol. 88(C), pages 821-836.
    7. Fabio Grazi & Henri Waisman, 2015. "Agglomeration, Urban Growth and Infrastructure in Global Climate Policy: A Dynamic CGE Approach," Working Papers 2015.61, Fondazione Eni Enrico Mattei.
    8. Bosetti, Valentina & Longden, Thomas, 2013. "Light duty vehicle transportation and global climate policy: The importance of electric drive vehicles," Energy Policy, Elsevier, vol. 58(C), pages 209-219.
    9. Stephan, André & Stephan, Laurent, 2016. "Life cycle energy and cost analysis of embodied, operational and user-transport energy reduction measures for residential buildings," Applied Energy, Elsevier, vol. 161(C), pages 445-464.
    10. Morikawa, Masayuki, 2012. "Population density and efficiency in energy consumption: An empirical analysis of service establishments," Energy Economics, Elsevier, vol. 34(5), pages 1617-1622.
    11. Liddle, Brantley & Lung, Sidney, 2013. "Might electricity consumption cause urbanization instead? Evidence from heterogeneous panel long-run causality tests," MPRA Paper 52333, University Library of Munich, Germany.
    12. Akihiro Otsuka & Mika Goto & Toshiyuki Sueyoshi, 2014. "Energy efficiency and agglomeration economies: the case of Japanese manufacturing industries," Regional Science Policy & Practice, Wiley Blackwell, vol. 6(2), pages 195-212, June.
    13. Du, Limin & Hanley, Aoife & Wei, Chu, 2015. "Estimating the Marginal Abatement Cost Curve of CO2 Emissions in China: Provincial Panel Data Analysis," Energy Economics, Elsevier, vol. 48(C), pages 217-229.
    14. Ahmad, Sohail & Puppim de Oliveira, Jose A., 2016. "Determinants of urban mobility in India: Lessons for promoting sustainable and inclusive urban transportation in developing countries," Transport Policy, Elsevier, vol. 50(C), pages 106-114.
    15. Felix Creutzig & Rainer Mühlhoff & Julia Römer, 2012. "One Planet Mobility - Transforming Cities towards Low-Carbon Mobility," Working Papers 1, Department of Climate Change Economics, TU Berlin, revised Feb 2012.
    16. Mishalani, Rabi G. & Goel, Prem K. & Landgraf, Andrew J. & Westra, Ashley M. & Zhou, Dunke, 2014. "Passenger travel CO2 emissions in US urbanized areas: Multi-sourced data, impacts of influencing factors, and policy implications," Transport Policy, Elsevier, vol. 36(C), pages 231-241.
    17. Keirstead, James & Jennings, Mark & Sivakumar, Aruna, 2012. "A review of urban energy system models: Approaches, challenges and opportunities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(6), pages 3847-3866.
    18. Li, Jun, 2011. "Decoupling urban transport from GHG emissions in Indian cities--A critical review and perspectives," Energy Policy, Elsevier, vol. 39(6), pages 3503-3514, June.
    19. Su, Qing, 2011. "The effect of population density, road network density, and congestion on household gasoline consumption in U.S. urban areas," Energy Economics, Elsevier, vol. 33(3), pages 445-452, May.
    20. Chai, Jian & Yang, Ying & Wang, Shouyang & Lai, Kin Keung, 2016. "Fuel efficiency and emission in China's road transport sector: Induced effect and rebound effect," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 188-197.
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    22. Liddle, Brantley, 2013. "Urban Transport Pollution: Revisiting the Environmental Kuznets Curve," MPRA Paper 53632, University Library of Munich, Germany.
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