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Energy Abundance, Trade and Specialization

Author

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  • Reyer Gerlagh
  • Nicole A. Mathys
  • Thomas O. Michielsen

Abstract

Do countries with large energy endowments have larger energy-intensive sectors? We answer this question empirically using a panel with 14 high-income countries from Europe, America and Asia and 10 broad sectors, from 1970 to 1997. Energy-abundant countries have 7 to 10 percent higher employment and 13 to 17 percent higher net exports per value added in energy-intensive sectors vis-a-vis otherwise comparable countries. Conversely, energy-scarce countries specialize in non-energy-intensive sectors.

Suggested Citation

  • Reyer Gerlagh & Nicole A. Mathys & Thomas O. Michielsen, 2015. "Energy Abundance, Trade and Specialization," The Energy Journal, , vol. 36(3), pages 235-246, July.
    • Handle: RePEc:sae:enejou:v:36:y:2015:i:3:p:235-246
    DOI: 10.5547/01956574.36.3.rger
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    References listed on IDEAS

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    1. Grether, Jean-Marie & Hotz, Irina & Mathys, Nicole A., 2014. "Industry location in Chinese provinces: Does energy abundance matter?," Energy Economics, Elsevier, vol. 44(C), pages 383-391.
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    3. Robert E. Baldwin, 2008. "The Development and Testing of Heckscher-Ohlin Trade Models: A Review," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262026562, December.
    4. Rahel Aichele & Gabriel Felbermayr, 2013. "Estimating the Effects of Kyoto on Bilateral Trade Flows Using Matching Econometrics," The World Economy, Wiley Blackwell, vol. 36(3), pages 303-330, March.
    5. Josh Ederington & Jenny Minier, 2003. "Is environmental policy a secondary trade barrier? An empirical analysis," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 36(1), pages 137-154, March.
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    1. Robert J. R. Elliott & Puyang Sun & Tong Zhu, 2024. "Energy abundance, the geographical distribution of manufacturing, and international trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 160(4), pages 1361-1391, November.

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