IDEAS home Printed from https://ideas.repec.org/a/rje/randje/v22y1991ispringp148-154.html
   My bibliography  Save this article

Costs of Nuclear Power Plant Construction: Theory and New Evidence

Author

Listed:
  • John M. Marshall
  • Peter Navarro

Abstract

Studies of the cost of construction of nuclear power plants rely upon a measure of cost, called "overnight cost," that contradicts accepted capital theory. The studies report evidence that construction cost per megawatt of capacity decreases as plant scale increases. We employ a more correct measure of cost and compare the results of this measure versus overnight cost for Japanese nuclear power plants. Using overnight cost, the results give "evidence" of economies of scale in Japanese power plants, but when the correct measure of cost is substituted, the scale variable is not statistically significant.

Suggested Citation

  • John M. Marshall & Peter Navarro, 1991. "Costs of Nuclear Power Plant Construction: Theory and New Evidence," RAND Journal of Economics, The RAND Corporation, vol. 22(1), pages 148-154, Spring.
  • Handle: RePEc:rje:randje:v:22:y:1991:i:spring:p:148-154
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0741-6261%28199121%2922%3A1%3C148%3ACONPPC%3E2.0.CO%3B2-E&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sovacool, Benjamin K. & Gilbert, Alex & Nugent, Daniel, 2014. "Risk, innovation, electricity infrastructure and construction cost overruns: Testing six hypotheses," Energy, Elsevier, vol. 74(C), pages 906-917.
    2. Dismukes, David E. & Upton, Gregory B., 2015. "Economies of scale, learning effects and offshore wind development costs," Renewable Energy, Elsevier, vol. 83(C), pages 61-66.
    3. Sascha Samadi, 2016. "A Review of Factors Influencing the Cost Development of Electricity Generation Technologies," Energies, MDPI, Open Access Journal, vol. 9(11), pages 1-25, November.
    4. Lovering, Jessica R. & Yip, Arthur & Nordhaus, Ted, 2016. "Historical construction costs of global nuclear power reactors," Energy Policy, Elsevier, vol. 91(C), pages 371-382.
    5. Koomey, Jonathan & Hultman, Nathan E., 2007. "A reactor-level analysis of busbar costs for US nuclear plants, 1970-2005," Energy Policy, Elsevier, vol. 35(11), pages 5630-5642, November.
    6. del Sol, Felipe & Sauma, Enzo, 2013. "Economic impacts of installing solar power plants in northern Chile," Renewable and Sustainable Energy Reviews, Elsevier, vol. 19(C), pages 489-498.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rje:randje:v:22:y:1991:i:spring:p:148-154. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (). General contact details of provider: http://www.rje.org .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.