Estimation of Productivity in Korean Electric Power Plants: A Semiparametric Smooth Coefficient Model
This paper analyzes the impact of load factor, facility and generator types on the productivity of Korean electric power plants. In order to capture important differences in the effect of load policy on power output, we use a semiparametric smooth coefficient (SPSC) model that allows us to model heterogeneous performances across power plants and over time by allowing underlying technologies to be heterogeneous. The SPSC model accommodates both continuous and discrete covariates. Various specification tests are conducted to compare performance of the SPSC model. Using a unique generator level panel dataset spanning the period 1995-2006, we find that the impact of load factor, generator and facility types on power generation varies substantially in terms of magnitude and significance across different plant characteristics. The results have strong implication for generation policy in Korea as outlined in this study.
|Date of creation:||Mar 2013|
|Date of revision:|
|Publication status:||published in: Energy Economics, 2014, 45, 491-500.|
|Contact details of provider:|| Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany|
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
|Order Information:|| Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany|
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Zvi Griliches, 1998.
"Issues in Assessing the Contribution of Research and Development to Productivity Growth,"
in: R&D and Productivity: The Econometric Evidence, pages 17-45
National Bureau of Economic Research, Inc.
- Zvi Griliches, 1979. "Issues in Assessing the Contribution of Research and Development to Productivity Growth," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 92-116, Spring.
- Li, Qi & Racine, Jeffrey S., 2010. "Smooth Varying-Coefficient Estimation And Inference For Qualitative And Quantitative Data," Econometric Theory, Cambridge University Press, vol. 26(06), pages 1607-1637, December.
- Choi, Ki-Hong & Ang, B.W., 2002. "Measuring thermal efficiency improvement in power generation," Energy, Elsevier, vol. 27(5), pages 447-455.
- Ryu, Hanee & Dorjragchaa, Shonkhor & Kim, Yeonbae & Kim, Kyunam, 2014. "Electricity-generation mix considering energy security and carbon emission mitigation: Case of Korea and Mongolia," Energy, Elsevier, vol. 64(C), pages 1071-1079.
- Fan, Yanqin & Li, Qi, 1996. "Consistent Model Specification Tests: Omitted Variables and Semiparametric Functional Forms," Econometrica, Econometric Society, vol. 64(4), pages 865-90, July.
- Shin, Jungwoo & Woo, JongRoul & Huh, Sung-Yoon & Lee, Jongsu & Jeong, Gicheol, 2014. "Analyzing public preferences and increasing acceptability for the Renewable Portfolio Standard in Korea," Energy Economics, Elsevier, vol. 42(C), pages 17-26.
- Racine, Jeff & Li, Qi, 2004. "Nonparametric estimation of regression functions with both categorical and continuous data," Journal of Econometrics, Elsevier, vol. 119(1), pages 99-130, March.
- PARK, Byeong U. & SICKLES, Robin C. & SIMAR, Léopold, 1996.
"Stochastic Panel Frontiers : A Semiparametric Approach,"
CORE Discussion Papers
1996038, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Park, B. U. & Sickles, R. C. & Simar, L., 1998. "Stochastic panel frontiers: A semiparametric approach," Journal of Econometrics, Elsevier, vol. 84(2), pages 273-301, June.
- PARK, Beyong U. & SICKLES, Robin C. & SIMAR, Léopold, . "Stochastic panel frontiers: A semiparametric approach," CORE Discussion Papers RP 1330, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Park, Soo-Uk & Lesourd, Jean-Baptiste, 2000. "The efficiency of conventional fuel power plants in South Korea: A comparison of parametric and non-parametric approaches," International Journal of Production Economics, Elsevier, vol. 63(1), pages 59-67, January.
- Kim, Hoseok & Shin, Eui-soon & Chung, Woo-jin, 2011. "Energy demand and supply, energy policies, and energy security in the Republic of Korea," Energy Policy, Elsevier, vol. 39(11), pages 6882-6897.
- Li, Qi, et al, 2002. "Semiparametric Smooth Coefficient Models," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(3), pages 412-22, July.
- Park, Eunil & Ohm, Jay Y., 2014. "Factors influencing the public intention to use renewable energy technologies in South Korea: Effects of the Fukushima nuclear accident," Energy Policy, Elsevier, vol. 65(C), pages 198-211.
- Hayashi, Masatsugu & Hughes, Larry, 2013. "The policy responses to the Fukushima nuclear accident and their effect on Japanese energy security," Energy Policy, Elsevier, vol. 59(C), pages 86-101.
- Robinson, Peter M, 1988. "Root- N-Consistent Semiparametric Regression," Econometrica, Econometric Society, vol. 56(4), pages 931-54, July.
- Baek, Jungho & Kim, Hyun Seok, 2013. "Is economic growth good or bad for the environment? Empirical evidence from Korea," Energy Economics, Elsevier, vol. 36(C), pages 744-749.
- Qi Li & Jeffrey Scott Racine, 2006. "Nonparametric Econometrics: Theory and Practice," Economics Books, Princeton University Press, edition 1, number 8355, 01-2013.
- Lee, Byoung-Hoon & Ahn, Hyeon-Hyo, 2006. "Electricity industry restructuring revisited: the case of Korea," Energy Policy, Elsevier, vol. 34(10), pages 1115-1126, July.
- Griliches, Zvi, 1986. "Productivity, R&D, and the Basic Research at the Firm Level in the 1970's," American Economic Review, American Economic Association, vol. 76(1), pages 141-54, March.
- Min, Daiki & Chung, Jaewoo, 2013. "Evaluation of the long-term power generation mix: The case study of South Korea's energy policy," Energy Policy, Elsevier, vol. 62(C), pages 1544-1552.
When requesting a correction, please mention this item's handle: RePEc:iza:izadps:dp7277. 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: (Mark Fallak)
If references are entirely missing, you can add them using this form.