Energy economics pdf download

It is a most vital instrument of the socio-economic development of a country. Energy is a very important factor in the production process. Energy is pivotal in running machinery in factories and industrial units, for lighting our cities and powering our vehicles etc. There has been enormous increase. Papers presented at the workshop, proposed various methods of hydrogen production from the hydrogen sulfide, from marine macro algae and other bacteria, storage and utilization of hydrogen, oil spills and.

Explores developments in the oil and energy industries and examines the impact of energy problems on the world economy. It also addresses emission allowances, energy efficiency, and nuclear risks. The authors discuss the engineering properties of energy technologies including renewables, the economics of natural resources and environmental protection, market liberalization, and energy trade as well as the experience of the German energy transformation.

This book will serve students as a textbook and practitioners as a reference for their understanding of energy markets and their development. Post a Comment. Hall et al. This correlation association could vary by different countries and by different periods. The object and goal of our research is the analyses of the causalities and relations between economic efficiency and energy intensity consumption in the 33 European countries: EU countries1, four European Free Trade Agreement EFTA-4 countries Iceland, Liechtenstein, Norway, and Switzerland , and two EU candidate countries Croatia and Turkey.

We analyze structural indicators of economic efficiency and energy intensity consumption as determinants of sustainable economic development. Restructuring and transformation of the economies from energy intensive industries towards more technologically advanced products and services might lead to higher value added per unit of product, thus higher labour productivity, and energy saving sectors with lower energy consumption per unit of output.

This might improve economic perfor- mance and lead to higher technological intensity of products, but might at the same time reduce energy intensity consumption and also reduce negative environmental pressures as an important factor of sustainable economic development considering possible non- renewable resources needed for energy production and environmental implications.

In further analyses we compare the old EU countries and the new EU countries, which jointly represent the enlarged EU countries. Economic efficiency, energy consumption and sustainable development The method applied is the statistical multivariate analysis Kachigan ; Hair et al. We analyze structural indicators of economic efficiency and energy intensity consumption as determinants of sustainable economic development for the selected 33 European countries.

The paper is organized as follows. In the next, the second section, we present the methodology and data used. In the third section, the empirical results are presented and explained. The final, fourth section derives main conclusions in order to increase eco- nomic efficiency and to rationalize energy intensity consumption, which are important for sustainable long-term economic development.

Methodology and data used Different methodological approaches have been used to investigate the relationship be- tween economic efficiency, energy consumption and sustainable economic development. Ighodaro employed the Johansen co-integration technique and causality relation- ship between different proxies of energy consumption, government activities, monetary policy, and economic growth using time-series data for Nigeria.

We apply correlation analysis, regression analysis and multivariate factor analysis e. Kachigan ; Hair et al. Sustainable economic development considers both efficient economy and efficient energy consumption in or- der to assure the quality of life also for future generations. In addition to correlation and regression analysis, we employ multivariate factor analy- sis to test the reliability of our regression results with a greater number of included explanatory variables.

With the multivariate fac- tor analysis we aim to identify a smaller number of common factors with the highest weights of variables inside them.

The data source for the selected 33 European cross-country analysis for the years and focusing on the factors of economic efficiency, efficiency in energy consump- tion, and determinants of sustainable economic development, is the Statistical Office of the European Communities Eurostat and Empirical results and findings 3. Prior to interpreting the empirical results, it is worth mentioning that some missing data for some analyzed variables by the analyzed countries are found e.

Economic efficiency, energy consumption and sustainable development European countries which on average are somewhat less developed than the average for the EU countries. Among the least developed countries outside the EU are the candidate countries for EU membership, particularly Turkey.

This finding is even more considerable and clearly confirmed in the case of labour productivity. This is confirmed by a large gap between the minimum and maximum values across the analyzed countries and by the standard deviation. The total number of graduates in science and technology per of population aged 20—29 years increased from 10 to The index of greenhouse gas emissions on average for the analyzed 33 European countries increased over time, but remained below its level in the base year in As an important finding, the economic growth for the analyzed countries between and was achieved by the reduced energy intensity consumption in the analyzed 33 European economies.

Moreover, the share of electricity from renewable sources energy to gross electricity consumption increased, which can be again considered as a positive outcome for sustainable economic devel- opment. Again, there are large variations across the analyzed 33 European countries, as a finding which has important policy implications by the countries and for regional European development, with implications for efficiency in energy intensity consumption and economic efficiency and sustainable economic development.

As expected, GDP per capita, labour productivity, exports of high technology products as a share of total exports, the share of electricity from renewable energy to gross elec- tricity consumption, and total number of tertiary graduates in science and technology per of population aged 20—29 increased in each of the EU groups of countries with considerable gaps between the higher level of the indicators for the old EU countries than for the new EU countries.

Moreover, the energy intensity consump- tion of the economy has declined in both the old EU and the new EU countries, but the energy intensity of consumption in the old EU countries is lower than in the new EU countries. On average the index of greenhouse gas emissions is higher in the old EU countries than in the new EU countries, giving the latter an opportunity to be successful in sustainable economic development. Economic efficiency, energy consumption and sustainable development Table 2.

Economic efficiency, energy consumption and sustainable development Table 4. In comparison with the EU countries, the EFTA-4 countries experience similar ten- dencies, except having the increase in the energy intensity use. Croatia and Turkey, except for the total number of tertiary graduates in science and technology per of population aged 20—29, and the energy intensity use, have experienced an increase in the analyzed indicators of economic efficiency, energy consumption and sustainable development as a positive sign for future sustainable economic development.

Economic efficiency, energy consumption and sustainable development Table 6. Correlation analysis The correlation analysis is used to establish the signs, intensity of associations, and statistical significance of the associations between the pairs of the variables that are used later in the regression and in the multivariate factor analyses. Economic efficiency, energy consumption and sustainable development in than in This could be explained by the EU enlargement in , which seems — in combination with developments in energy markets — to have broadened the scope for the economic efficiency, energy consumption and sustainable economic development.

These correlation results suggest shifts from energy saving towards energy using technologies, which can be explained by the growth in world oil and energy real prices, which has caused the increase of the share of gross domestic consumption of energy in the unit of product or in GDP.

These two explanatory variables are used as proxy determinants for sustainable economic development. Both cross-section regression equations for economic efficiency and energy consump- tion, respectively, are estimated for the years and , respectively. Third, the comparison between the cross-section regressions for the years and , respectively, shows an increase in the regression constant for autono- mous labour productivity, and vice versa a decline of autonomous energy intensity con- sumption.

These findings for the regression constants are consistent with the theoretical expectations and objectives of sustainable economic development to assure higher la- bour productivity with lower energy intensity consumption.

The regression coefficients pertaining to the high-tech exports are of the theoretically expected sign and are significant: the greater share of the high-tech exports increases labour productivity on the one hand, but decreases energy intensity of consumption on the other.

The higher technological intensity of exported products is associated negatively with the energy consumption per unit of a product, which is related to the restructuring of production processes from the energy intensive industries towards in- dustries with the higher value added per unit of the product with lower energy consump- tion per unit of the product.

Multivariate factor analysis The multivariate factor analysis is used to investigate common factors and main weights of variables in associations between various analyzed variables, in order to find a small- er number of joint variables that represent common factors of the analyzed variables ex- plaining economic efficiency, energy intensity consumption, and sustainable economic development.

Economic efficiency, energy consumption and sustainable development sphericity shows the significance of the data for the year approx. Chi-Square The KMO measure of sampling adequacy is 0. The multivariate factor analysis was conducted in four steps employing the extraction methods of the principle axis factoring and three different methods of maximum likelihoods for the years and , respectively Table 9. The extraction method of the principle axis factoring confirmed the model for the total sample of eight variables with the two common factors that explain The first common factor explained The extraction method of the maximum likelihood confirmed the two common most significant factors, which in explained The extraction method of the maximum likelihood with the rotation method of Oblimin with Kaiser Normalization does not change communalities considerably, but has im- proved the obtained results on the common factors.

Multivariate factor analysis and matrices of five different extraction methods two components extracted in and Principal Axis Maximum Maximum Likelihood. Conclusion Energy consumption in the European economies has increased, but greater efforts have been made towards reducing energy intensity consumption of the economy production.