testing an alternative habit persistence model marshall long ago noted the phenomenon of past consumption being highly correlated with current consumption if habit was indeed a major determinant of current consumption behavior then the neoclassical theory of utility maximization should take it into account a rigorous incorporation of habit formation into consumer theory began with gorman 12 pollak 21 22 23 laid out the theoretical conditions that needed to be satisfied in order for habit persistence to be consistent with the utility maximizing model of consumer behavior competent empirical work in this area was done initially by houthakker and taylor 14 with subsequent studies by manser 16 phlips 18 19 pollak and wales 24 anderson and blundell 2 and blanciforti and green 8 these papers have focused on examining the impact of measured past consumption on current consumption blundell 9 provides a comprehensive review of this literature

testing for preference change in consumer demand an indirectly separable semiparametric model this article considers the hypothesis that preference changes may partly explain observed consumption patterns a model is developed based on indirect weak separability the kernel estimator of the regression function models the unknown shape of demand functions and a parametric structure models seasonality dynamics and preference change this semiparametric specification is applied to u s meat demand the results support the notion that changes in consumer preferences due to consumers awareness of the health hazards of cholesterol and saturated fat intake may explain an increased consumption of white meat and a decreased consumption of red meat

an empirical study on the rebound effect considering capital costs technological progress is one of the means of reducing energy usage and carbon dioxide co2 emissions however this reduction in turn leads to a reduction in the real cost of energy services per unit which results in an increase in the demand for energy services therefore a reduction in the anticipated co2 emissions caused by a technological improvement might be partially offset in response to the cost reduction previous studies have referred to this effect as the rebound effect a large amount of empirical evidence on the rebound effect exists however most of these studies assume an exogenous improvement in energy efficiency and thus capital costs that may decrease the magnitude of the rebound effect are not taken into account expressly this paper extends the scope of the research conducted by brannlund et al brannlund r ghalwash t nordstrom j 2007 increased energy efficiency and the rebound effect effects on consumption and emissions energy economics 29 1 17 in terms of two aspects i considering capital costs explicitly as additional capital costs and ii adapting an iterating procedure and estimating the rebound effect using japanese household data as a result of our empirical analysis we conclude that the rebound is approximately 27 however we also find that ignoring additional capital costs leads to an increase in the rebound effect in the case of japanese households the magnitude of the rebound effect increases to approximately 115 moreover our simulation study shows that only a one time iteration of brannlund et al brannlund r ghalwash t nordstrom j 2007 increased energy efficiency and the rebound effect effects on consumption and emissions energy economics 29 1 17 may lead to a biased result

the symbiotic rebound effect in the circular economy abstract the circular economy has emerged as an important approach in addressing how society can use its resources more efficiently theoretical advancements in the circular economy have yielded benefits for both practice and policymaking however if the eco efficiency of resource use is to be improved then certain challenges that face the circular economy must be resolved one of these challenges concerns the rebound effect by investigating resource flow with a circular rather than linear system as well as within a producer producer rather than producer consumer type of relationship we identify a rebound effect that we term symbiotic rebound we differentiate it from other forms of rebound effect on the basis of its main driver opportunity costs drive a higher than expected use of resources in a circular economy rather than the usual driver of demand as found in other types of rebound in identifying describing and illustrating a symbiotic rebound effect we make two contributions first to the rebound literature and second to theory development on the circular economy

a nonsmooth nonconvex model of optimal growth this paper analyzes the nature of economic dynamics in a one sector optimal growth model in which the technology is generally nonconvex nondifferentiable and discontinuous the model also allows for irreversible investment and unbounded growth we develop various tools to overcome the technical difficulties posed by the generality of the model we provide sufficient conditions for optimal paths to be bounded to converge to zero to be bounded away from zero and to grow unboundedly we also show that under certain conditions if the discount factor is close to 1 any optimal path from a given initial capital stock converges to a small neighborhood of the golden rule capital stock at which sustainable consumption is maximized if it is maximized at infinity then as the discount factor approaches 1 any optimal path either grows unboundedly or converges to an arbitrarily large capital stock

direct rebound effect of residential gas demand empirical evidence from france abstract energy policymakers are increasingly concerned about energy efficiency improvements as such improvements are considered to be a key strategy in reducing energy demand in the residential sector however energy efficiency investments may not yield the expected energy savings due to the rebound effect concept which leads to lower savings than expected when energy efficiency increases using the standard ols regression and autoregressive distributed lag cointegration ardl approach this paper provides estimates of the magnitude of the rebound effect for residential gas consumption in france using 1983 2015 annual time series data the methodology is based on estimates of the gas demand elasticity with respect to service price the empirical findings indicate that the variables used in the model are cointegrated and suggest the presence of an obvious rebound effect in residential gas use more specifically estimates of the direct rebound effect in residential gas demand are approximately 53 in the short run and approximately 60 in the long run our findings reject the hypothesis of a backfire effect regarding residential gas use in france and hence suggest incorporating carbon taxation energy efficiency and alternative energy in the formulation of an energy saving policy to facilitate the transition towards a low carbon economy in france

residential energy demand in oecd countries and the role of irreversible efficiency improvements abstract after undergoing substantial changes during a period of high energy prices household energy demand did not rebound in times of declining energy prices as might have been expected hence other factors such as irreversible improvements in technical efficiency must be understood in order to describe both past and future household energy demand in this paper we consider irreversible efficiency improvements as a major reason for the moderate growth in energy demand after the plummeting of the oil price in 1985 we test different econometric models to take into account efficiency indicators the major conclusions of our investigation are i price elasticities are different for rising and falling prices for the latter they are close to zero implying a low rebound effect in the residential sector ii technical efficiency is an important parameter for describing and forecasting energy demand and iii income elasticities turn out to be higher once we incorporate indicators of technological efficiency in the process of estimating energy demand

the 40 neoclassical aggregate theory of production the assumption that production in an economic system may be described by an aggregate neoclassical production function is at the heart of most modern equilibrium neoclassical business cycles and growth models its validity requires stringent assumptions on individual production functions and market structure in this article the likelihood that an aggregate neoclassical production function could emerge from a simple heterogeneous production system is assessed by the use of computer simulations the conclusion is that there exists a world of significant size for which the aggregate neoclassical theory of production does not hold

economic and environmental gains of china s fossil energy subsidies reform a rebound effect case study with eimo model abstract energy consumption and efficiency emerged as the hottest topic in the context of china s sustainable development energy subsidies and rebound effect were closely related to this topic while few combinative studies on them with a focus on china this paper employed a co thinking approach focusing on how the energy subsidies reform could mitigate the rebound effect in china and how to achieve an economic and environmental gains that reduced pecuniary spending improved the distorted energy market and reduced energy consumption simultaneously firstly with price gap approach we calculated the total energy subsidies scale of china in 2007 which amounted to582 0 billion cny then we detected and identified rebound effect of china energy consumption with the features furthermore based on china 2007 monetary input output table and energy flow analysis we compiled a hybrid physical energy input and monetary output model eimo to simulate the mitigation effect of subsidies reform results showed that removing energy subsidies would decrease ultimate demand of different economy sectors and reduce the accumulatively physical consumption of coal oil natural gas and electricity by 17 74 13 47 3 64 and 15 82 million tce respectively finally we discussed relevant policy issues on china s energy subsidies reform in depth

a sraffian critique of the classical notion of centre of gravitation in this paper we use insights from sraffa s classic production of commodities by means of commodities to argue that the classical notion of centre of gravitation is not a sound concept the market mechanics of labour allocation through price signals and quantity adjustments given effectual demands do not lead to a centre of gravitation we work out all such possible market mechanisms including the specific classical case and show that the centre of gravitation is a non attractive point in all cases copyright the author 2009 published by oxford university press on behalf of the cambridge political economy society all rights reserved oxford university press

budget constraint prices as preference changing parameters of generalized fechner thurstone direct utility functions let v x be any direct utility function characterizing consumer preferences that are reflexive transitive and complete and whose parameters are fixed relative to the usual linear budget constraint p x m here x designates the vector x1 x and is confined to the positive n orthant xi designates quantity of the ith commodity p is the vector p pn of positive commodity prices and m designates total expenditure let x p m designate the system of demand functions derived from v x subject to px m which possess the properties of zero degree homogeneity symmetry and semidefinite negativity let w x 0 designate a direct utility function with a parameter vector 0 dependent on the price vector p that appears in the budget constraint and b that rationalizes the same system of demand functions as v x namely x p m probably many economists who have considered price dependent preferences would conjecture that every such price dependent utility function w x p satisfying a and b is of the rather restricted form

evaluating consumption and cost savings from new air conditioner purchases the case of singapore abstract air conditioning ac is a major source of household electricity consumption in singapore and there is evidence that the efficiency of acs could be improved substantially employing 45 months of energy bills and survey data and the fixed effects difference in differences estimator we calculated a savings of 7 8 of total energy consumption after the purchase of a more efficient ac compared to an estimated expected savings of 12 6 this suggests a rebound or take back of savings around 38 2 such a less than 100 of theoretical savings achieved is in line with other outside singapore estimates and economic behavioural theory since after purchasing a new ac households may i use a lower temperature setting or ii use the ac longer in order to 1 fulfil previously unmet demand and or 2 respond to the effective lower costs of running the ac our results have implications for both energy efficiency labelling policies and for singapore s recently implemented carbon tax

using latent variable approach to estimate china s economy wide energy rebound effect over 1954 2010 the energy rebound effect has been a significant issue in china which is undergoing economic transition since it reflects the effectiveness of energy saving policy relying on improved energy efficiency based on the ipat equation and brookes explanation of the rebound effect this paper develops an alternative estimation model of the rebound effect by using the estimation model and latent variable approach which is achieved through a time varying coefficient state space model we estimate china s economy wide energy rebound effect over 1954 2010 the results show that the rebound effect evidently exists in china as a result of the annual average of 39 73 over 1954 2010 before and after the implementation of china s reform and opening up policy in 1978 the rebound effects are 47 24 and 37 32 with a strong fluctuation and a circuitously downward trend respectively indicating that a stable political environment and the development of market economy system facilitate the effectiveness of energy saving policy although the energy saving effect of improving energy efficiency has been partly realised there remains a large energy saving potential in china

agricultural product supplies and input demands regional comparisons governmental agencies at federal state and local levels in the united states are heavily involved in intervention in agricultural input and output markets to effect desired social goals the most pervasive intervention activities occur at the federal level they are available throughout the nation to most producers of specified commodities how

veblen effects and their impact on the new european community and some of their trading partners abstract this paper seeks to examine the impact of the interdependence of consumer markets in the eec countries on consumer behavior we also wish to measure potential taste shifting effects these veblen effects arise from the impact that prices and income have directly on the utility function largely because consumers seek to emulate each others behavior this paper provides estimates of a demand system for seven of the eec countries which takes these veblen effects into account as well as comparable estimates for some non eec european countries

solvency rule versus taylor rule an alternative interpretation of the relation between monetary policy and the economic crisis one of the more debated interpretations of the economic crisis that started in 2007 08 is based on the taylor rule equation namely the idea that over the period 2002 05 the fed has implemented a low interest policy that has led to the housing bubble and finally to the great recession this paper shows that the taylor rule equation not only rests on the so called new consensus macroeconomics but also on the neoclassical theory of growth the various criticisms raised against these theoretical foundations suggest that interpretations of the great recession based on the taylor rule equation are building their arguments on shaky theoretical premises furthermore this paper shows that an equation formally similar but logically alternative to the taylor rule can be regarded as the expression of a general condition of solvency of firms and workers according to this solvency rule the prevailing outcome of monetary policy decisions is the regulation of insolvencies

estimating energy conservation potential in china s energy intensive industries with rebound effect abstract the energy consumption of china s six most energy intensive sub industries is about half of the total national energy consumption and accounts for more than 70 of industrial energy consumption in recent years these six industries are capital and energy intensive and have a great impact on the energy consumption of china so they are directly related to the achievement of the energy conservation goal in the 13th five year plan this paper investigates the influential factors of energy consumption in the industries by employing the cointegration method and estimates the possible energy conservation potential considering energy rebound effect the results show that gdp and the scale of industries are the deterministic factors increasing energy consumption while r d intensity decreases it energy price has little impact on energy consumption the average energy rebound effect is calculated using the latent variable approach and the result is 90 75 considering energy rebound effect the energy conservation potential of china s energy intensive industries is 14 18 26 54 million tons of standard coal equivalent in 2020 and 44 64 80 72 million tons of standard coal equivalent in 2030

what is this school called neoclassical economics what is this school called neoclassical economics does it exist should it where does the term neoclassical economics come from and is there any connection between any of the current interpretations of the term and its original meaning how do we make sense of competing current interpretations is there a sustainable formulation these and related questions are raised and answered in an attempt to bring clarity to ongoing economic discussion and debate thereby to under labour for a more relevant academic economics discipline

optimal policy in og models in the present paper general stationary overlapping generations economies with many commodities in every period and many different consumers in every generation are considered a government maximizes an utilitarian social welfare function that is the sum of weighted averages of utilities for generations through fiscal policy i e monetary transfers and taxes both situations with and without time discounting are considered it is shown that if the discount factor is sufficiently close to one then the optimal policy stabilizes the economy i e the equilibrium path has the turnpike property moreover the fiscal policy is shown to be time consistent

reducing rebound effect through fossil subsidies reform a comprehensive evaluation in china abstract china has committed a sharp reduction in its carbon intensity by 2020 and proposed to take integrated policy package including energy subsidy reform to achieve this goal while energy efficiency improvement is the key influencing factor for this goal its effectiveness is significantly determined by rebound effect energy subsidy as an economic regulation policy would significantly affect rebound effect to explore how china s fossil subsidies reform would affect rebound effect this study conducts a comprehensive evaluation based on a multi sector computable general equilibrium cge model rebound effects at different technological improvement levels are investigated and the impacts of different subsidies reform scenarios on mitigating rebound effects and on the whole economy is analyzed the results provide significant policy insights firstly rebound effect does exist in china larger for electricity than for primary energies secondly by removing fossil energy subsides the rebound effect would be effectively mitigated and removing all subsides would reduce the rebound effect most however it would bring significant negative impacts on the macro economy thirdly an integrated policy with removal of fossil energy subsidies and increment of clean energy subsidies would be more effective greatly reducing rebound effect and also bring benefits for both economy and environment our findings would be critical for china s low carbon policy making in the future

endogenous regional agricultural production technologies technical relationships between six productive factors for ten agricultural produvction regions in the continental united states are examined the applied methodology provides a departure from conventional production methodologies contained in the literature by allowing aggregate technical relationships to be endogenized within the economic system

the contingent nature of the revolution predicted by marx abstract a formalisation of elster s interpretation of marx s theory of revolution is presented in terms of a one sector model with continuous substitution land as a factor of production and a particular population theory a justification for calling such a model marxian is given then it is shown that the revolution may occur only if the drag caused by the fixed supply of land is greater than the force of technical progress

temporary transfers in a simple dynamic general equilibrium model abstract the main result of this paper is to demonstrate that if future discounting is sufficiently weak a temporary transfer of commodities has almost no effects on current economies although it is well known in the macroeconomic literature this proposition has not been given any rigorous proof that takes the dynamic general equilibrium effect of a transfer into account this study builds a simple dynamic general equilibrium model with two goods and demonstrates that the proposition can be derived from the equilibrium conditions of perfect foresight equilibrium

pasinetti versus rebelo two different models or just one abstract pasinetti s pasinetti l l 1960 a mathematical formulation of the ricardian system review of economic studies 27 78 98 model formalizing ricardian growth theory and one of the simplest models developed within the new growth theory rebelo s 1991 long run policy analysis and long run growth journal of political economy 99 500 521 are shown to share the same structure this enforces the thesis according to which many endogenous growth models have a classical flavour the main difference from pasinetti s to rebelo s framework may be interpreted as reflecting the change in the consumption pattern of workers from early to late industrial societies

the intercountry agricultural production function another view factor productivity in agriculture is estimated from repeated observations on a sample of fifty eight countries under the assumption that all countries have access to the same technology technology is viewed as a collection of techniques each technique is represented by a production function the choice of the implemented techniques is determined by the state variables which represent the physical and economic environment within which the firms operate the statistical model is that of varying coefficients and it is estimated by a method which utilizes principal components and multiple comparisons

the existence of ramsey equilibrium the authors demonstrate existence of a perfect foresight equilibrium under borrowing constraints in a one sector model with infinitely lived heterogeneous agents the class of admissible preferences includes but is not limited to recursive preferences existence is proven using a t 2ctonnement argument under appropriate conditions on preferences and technology a new measure of discounting the norm of marginal impatience is used to determine which technologies are admissible depending on the norm of marginal impatience the admissible technology may either allow for permanent growth or have a maximum sustainable stock copyright 1991 by the econometric society

determinacy of equilibria in dynamic models with finitely many consumers abstract we consider a production economy with a finite number of heterogeneous infinitely lived consumers we show that if the economy is smooth enough equilibria are locally unique for almost all endowments we do so by converting the infinite dimensional fixed point problem stated in terms of prices and commodities into a finite dimensional negishi problem involving individual weights in a social value function by adding artificial fixed factors to utility and production functions we can write the equilibrium conditions equating spending and income for each consumer entirely in terms of time zero factor endowments and derivatives of the social value function

profit rent and the terms of trade a reply abstract andrews 1985 investigates the theoretical coherence and policy relevance of our 1982 model and concludes contrary to our own findings that a positive rate of profit is not necessary to obtain a two signed derivative of the profit rate with respect to agriculture s terms of trade she characterizes the model as neo ricardian on the grounds that the technology is the culprit and also questions the empirical relevance of our fixed profit equilibrium or land price treadmill we show here that if a viability condition stated in our original paper holds parameter values of the model must yield a positive rate of profit if the profit rate is to fall following an improvement in the terms of trade we then contrast our model with a more neoclassical one in which the sign of the derivative does strictly depend on the technology that is upon factor intensities finally we present empirical evidence from a detailed study of the u s economy based on our original model these data support the existence of a land price treadmill in agriculture especially for countries in which workers are successful in defending a given real wage

on judging quality by price price dependent expectations not price dependent preferences it has long been observed that some consumers may view product price as an indicator of product quality the rationale for choosing price as an indicator of quality appears to be the belief that markets are essentially efficient and that the higher costs associated with higher quality must be reflected by a higher product price earlier authors 1 4 5 6 7 11 14 have taken note of this phenomenon and have concluded that consumer preferences must be dependent on product price in this case it is argued in this paper that it is rational to judge quality by price only if the consumer is uncertain about product quality this implies that expectations are price dependent since the consumer rarely knows the exact quality of any product prior to its purchase the use of quality indicators may be more prevalent than traditional theory would imply if preferences or expectations are dependent on price the traditional properties of demand equations may not hold for example demand may not be free of money illusion 5 497 pollak has observed that judging the quality of a product by its price is a rational strategy for an uncertain consumer 7 64 he then proceeds to model price dependent preference behavior under certainty in a deterministic environment quality is known with certainty if quality is known with certainty then it is not rational for the consumer to use indirect quality indicators such as the price of the product the principal thesis of this paper is that ex ante uncertainty about product quality can lead to price dependent subjective expectations rather than price dependent preferences hence a change in price may cause a revision of expectations and not a shift in the consumer s preferences in section ii i present a model of subjective expectations where product price is a prior indicator of product quality a specific model of the revision of expectations is set forth 2 two models of consumer behavior with uncertain product quality are contained in section iii in the first model we assume that there is no demand for quality per se and that

a note on aggregation of fechner thurstone direct utility functions abstract this paper demonstrates that exact aggregation of individual to per capita demand functions is achieved when the fechner thurstone functional form is the underlying direct utility function the exact aggregation takes place without the restrictive assumptions that characterize systems of demand functions derived from other functional forms

measurement of energy rebound effect in households evidence from residential electricity consumption in beijing china abstract energy efficiency improvement policies have special significance for carbon emissions reduction and the mitigation of the effects of climate change however the energy rebound effect caused by technological progress will indirectly increase energy consumption the magnitude of the rebound effect largely determines the effectiveness of energy efficiency in mitigating energy consumption this study reviews the main theory behind estimated methods of energy rebound effect measurement focuses on constructing a double logarithm energy demand model and an error correction model of the asymmetric demand responses of electricity price changes to empirically analyse the direct rebound effect on residential electricity use in beijing it integrates consumer s demand theory with the embodied electricity of household spending from a seven sector environmental energy input output e i o analysis to estimate the indirect rebound effect the three income elasticity weight change and proportional re spending scenario simulation results show that residential electricity use in beijing exhibits a partial rebound effect and the long term direct and indirect rebound effects are 46 to 56 and the short term direct rebound effect is 24 to 37 finally the direct and indirect energy rebound effect for various income groups needs further research an appropriate policy mix should be adopted to mitigate effectively the rebound effect in china s current lower energy price and lower energy efficiency market

the effects of factor market distortion and technical innovation on china s electricity consumption abstract this study integrates neoclassical economics and institutional theory to examine the relationship between market factor distortion technical innovation and china s electricity consumption using business data from china 2008 2014 first we provide evidence that factor market distortion promotes electricity consumption of industrial enterprises in china secondly we divide technical innovation into traditional technical innovation and green innovation finding that the level of technical innovation has an inverted u shaped effect on the electricity consumption of industrial enterprises further we also provide evidence that factor market distortion amplifies the inverted u shaped effect of the technical innovation plot the results show that accelerating the reform of the market and promoting green innovation should be regarded as important strategies for national energy saving and emission reduction

technological progress and rebound effect in china s nonferrous metals industry an empirical study as one of china s mainstay and six major energy intensive industries the nonferrous metals industry faces the intense contradiction between economic growth and energy environment constraints technological progress does not only realize the energy savings but also causes rebound effect by promoting output growth although the rebound effect is an important topic there is still very little empirical research that focuses on the nonferrous metals industry in china using the lmdi method and the total factor productivity model to calculate parameters we estimate the size of the rebound effect in china s nonferrous metals industry over the period 1985 2014 according to the results the average rebound effect is approximately 83 02 with a downward trend which indicates that most of the expected energy savings are mitigated the rebounds with a strong fluctuation are comparatively discussed in various periods suggesting that china cannot count only on technological progress to save energy and reduce emission furthermore the government should apply economic instruments such as energy pricing mechanism reform resource tax and carbon tax as supplements to realize the targets of energy conservation and emission reduction additionally optimizing sub sector structure and promoting substitution also play a significant role in the mitigation of the rebound effect

technological progress and energy rebound effect in china s textile industry evidence and policy implications abstract although energy efficiency improvement can reduce energy consumption reduction of the effective price will also increase the demand for energy services part of this reduction is then offset because of the energy efficiency improvement the magnitude of this energy rebound effect is one of the important factors that must be considered in the formulation and implementation of energy policies the textile industry is a traditional pillar industry in china it is an important part of the national economy and contributes significantly to international trade this study uses the morishima elasticities of substitution mes model combined with asymmetric energy prices trans log cost function and other econometric methods to establish a framework to measure the rebound effect in china s textile industry the empirical results of this paper indicate that the rebound effect for china s textile industry is 20 991 this reveals that energy efficiency improvement is conducive for energy saving to a certain degree notwithstanding these results also prove that energy efficiency improvement is not the only way for china s textile industry to realize energy saving and emission reduction finally based on the analysis future policy priorities are suggested

the classicals and the neoclassicals a rejoinder to frank hahn refutes the classical and marxist analysis of prices and competition presentation of an intertemporal equilibrium model in a simple formalism possibility of locating prices of production and a distributed profit rate in an intertemporal equilibrium relationship between prices in intertemporal equilibrium and prices of production ebsco

scrutinizing the direct rebound effect for french households using quantile regression and data from an original survey abstract this article develops a quantile regression model to measure the magnitude of the direct rebound effect for residential electricity demand based on micro level data from an original survey of a representative sample of 2356 french households we explore the rebound effect for different groups of residents traditionally debate has focused on decreased prices for energy services due to efficiency improvements and their effects on energy demand the methodological innovation provided by this paper is that it implements two theoretical estimation strategies i energy efficiency elasticity of the demand for energy services and ii price elasticity of the demand for energy services our findings reject the hypothesis of a backfire effect in the context of residential electricity use specifically based on energy efficiency elasticity we provide evidence of a rebound effect of between 72 and 86 but with substantial heterogeneity among consumption quantiles our results show that the direct rebound effect has critical relevance for energy efficiency policy in the face of energy invisibility in france

applying theil s multinomial extension of the linear logit model to meat expenditure data one of the chief drawbacks of the multinomial extension of the linear logit model is that after the standard linearization the parameters which are directly estimated have no obvious economic meaning this paper presents alternative transformations which facilitate interpretation in one linearization the estimated coefficients will be elasticities at a selected data point such as the mean in another form the coefficients will be slutsky parameters the latter version is chosen for an empirical analysis of the demand for meat in great britain a number of issues concerning the model s error structure and dynamic specification are discussed

competitive equilibria on turnpikes in a mckenzie economy i a neighborhood turnpike theorem in his seminal paper bewley 1982 integrates growth theory and competitive equilibrium theory considering a model with finitely many infinitely lived consumers who trade commodities in infinitely many competitive markets from the present through the future in such a model a competitive equilibrium path is an optimal growth path using this property he proves a turnpike theorem for competitive equilibrium paths in growth theory a social welfare function with respect to which optimal growth paths are considered has been assumed to be exogenously given bewley shows that in the competitive market system the market mechanism endogenously determines the social welfare function with respect to which an equilibrium path is regarded as an optimal path in bewley s model the future is discounted by a factor p in growth theory two types of turnpike theorems have been proved when the future is discounted the first type is called a neighborhood turnpike theorem it asserts that given c 0 there is 0 p 1 such that p p 1 implies that an optimal path at the discount factor p eventually stays within the s neighborhood of a stationary path this theorem does not require the social welfare function to be differentiable but only to be strictly concave and is proved by mckenzie 1979 the second type is called an asymptotic turnpike theorem it asserts that there is 0 p 1 such that p p 1 implies that an optimal path at the dicount factor p converges to a stationary path this theorem has been proved only under differentiability assumptions scheinkman 1976 bewley proves an asymptotic turnpike theorem making use of extensive differentiability assumptions the purpose of this paper is to synthesize these two importnat results of bewley and mckenzie namely we will prove a neighborhood turnpike theorem of mckenzie type in a model like that of bewley making no differentiability assumptions we will make a few generalizations of bewley s assumptions among them of importance are relaxing his differentiability assumptions weakening his interiority assumption and replacing his assumption of decreasing returns to

equilibrium turnpike theory with time separable utility abstract the purpose of this paper is to show that under reasonably general conditions intertemporal competitive equilibrium has a turnpike property the model is general because it permits 1 time variant time separable utility functions 2 heterogeneous rates of discount across consumers and 3 matching flatness in utilities and production possibilities the results rely on bounded marginal utility for all consumers and aggregate stationarity of utilities of the set of most patient consumers under these assumptions the neighborhood turnpike result holds with 1 and 2 because of the eventual unimportance of the impatient consumer matching flatness requires the use of a two sided liapounov function and the growth theoretic methods of mckenzie

estimating the rebound effect in us manufacturing energy consumption abstract the energy price shocks of the 1970s are usually assumed to have increased the search for new energy saving technologies where eventual gains in energy efficiencies will reduce the real per unit price of energy services and hence the consumption of energy will rise and partially offset the initial reduction in the usage of energy sources this is the rebound effect which is estimated for the us manufacturing sector using time series data applying the dynamic ols method dols when allowing for asymmetric price effects the rebound effect is found to be approximately 24 for the us manufacturing sector

measuring preference variation across north america this paper utilizes the generalized fechner thurstone direct utility function to see if relative price changes in neighboring countries affect the preference structure of the host country the authors analyze the case of canada mexico and the united states they utilize the generalized fechner thurstone functional form because it allows them to detect changes in preferences when parameters such as prices change they find evidence of veblen effects for both canada and the united states across almost all goods under consideration in mexico the changes in relative prices in canadian and u s goods appear to be much less significant copyright 1988 by the london school of economics and political science

is the energy efficiency improvement conducive to the saving of residential electricity consumption in china abstract the urbanization process and the continuous upgrading of consumption structure have driven the rapid growth of china s residential electricity consumption making it urgent to strengthen energy conservation and emission reduction in the residential sector improving the efficiency of electricity use is an effective method to reduce the consumption of electricity but the rebound effect re also emerges is it still conducive to saving electricity in response to this question this article selects the relevant data in china during 2010 2016 to construct the panel linear model and the panel threshold model respectively to analyze the direct re of residential electricity consumption the results show that 1 the average re of china s residential electricity use is 84 94 it indicates that energy efficiency improvement can lower residents electricity use but only 15 06 of the expected target can be achieved 2 the direct re in high income regime pgdp 76023 67 and low income regime pgdp 76023 67 is 59 15 and 80 79 respectively meaning that energy efficiency measures in the high income regime are more effective 3 the direct re in the high population regime pop 6083 28 and low population regime pop 6083 68 is 120 09 and 83 91 respectively indicating that energy efficiency improvement in the high population regime has intensified residents electricity consumption therefore to maximum energy saving effect the government should take the inter provincial heterogeneity of the re into consideration and introduce market oriented measures such as price and tax to restrain it

piero sraffa and the true object of economics the role of the unpublished manuscripts this special issue is concerned with the work of piero sraffa and with recent developments in its interpretation occasioned by the opening of the sraffa archives in late 1993 1 it brings together some of the contributions to a workshop on this theme that was sponsored by the cambridge journal of economics and held in july 2010 on the occasion of the 50th anniversary of the publication of piero sraffa s major work production of commodities by means of commodities pcmc the original workshop on new perspectives on the work of piero sraffa was aimed at sraffa scholars who had taken the opportunity to engage with materials in the sraffa archives and who were interested in exploring their potential for revisiting and placing pcmc in the wider context of ongoing debates on economic philosophy economic theory and economic policy as is usually the case not all presentations made at the workshop were advanced for consideration in this special issue nor could all invitees attend heinz kurz as chief editor of the sraffa archives agreed to present his view on the relevance of the sraffa archives to research on sraffa and to comment on contributions at the workshop as well as on their final versions submitted for publication in this special issue kurz s contribution to this special issue was thus written in the short time available between the receipt of final versions and publication deadlines we are indebted to him for his cooperation in the preparation of this special issue we are especially grateful for his patience in the time taken to bring this project to publication this abstract was borrowed from another version of this item

the role of income in energy consumption behaviour evidence from french households data the main purpose of this paper is to characterise quantitatively the impact of income on household energy consumption in the residential and transport sectors starting from the data collected in a paper survey we analyse the extent of the constraint experienced by households in terms of equipment purchasing behaviour and daily energy consumption this analysis shows that the least well off households are particularly constrained since the share of their budget represented by these energy services is very large 15 25 and this corresponds to a level of energy service well below that of the better off households the case of space heating shows a factor of 2 in terms of level of comfort achieved between the extreme 10 percentiles these households also face a strong capital constraint for equipment purchases this leads either to a large increase in the required rate of return or to a reduction in the proportion of households that are prepared to replace their equipment earlier the least well off households are thus doubly constrained since it is more difficult for them to invest in our opinion it is crucial to take into account this observation in the context of political measures aimed at reducing households co2 emissions

interdependencies between transport fuel demand efficiency and quality an application to austria abstract this paper focuses on the interdependencies between technical efficiencies and energy demand which are often either treated in isolation or do not get the sufficient attention in the literature more precisely this paper uses technical efficiencies as one crucial determinant of energy demand in order to integrate at least two issues that are usually investigated separately from each other the rebound effect resulting from improved technical efficiencies and the asymmetry of energy demand in this regard our paper sets out a theoretical framework which has the following implications higher efficiency increases service demand first order rebound low fuel prices and higher efficiency increases the demand for quality second order which in turn increases service demand further third order ceteris paribus energy price shocks should increase scrapping rates fuel prices direct the rd those on engine efficiency are irreversible which has the consequence that energy price elasticities depend on the history of energy prices rather than being asymmetrical derived implications are subsequently tested on austrian data in particular the purchasing decision diesel versus gasoline powered cars allows to refute the myth that consumers apply high implicit rates for discounting the future benefit from efficient cars

expenditure constraints and profit maximization in u s agriculture the u s agricultural sector is undergoing some of its most severe financial problems since the great depression numerous reports have emerged of large numbers of farmers being unable to obtain short term oper

direct rebound effect on urban residential electricity use an empirical study in china abstract though improving energy efficiency is an important approach to decrease the energy consumption the rebound effect caused by technology progress negatively affects the effectiveness of energy efficiency policies this paper empirically investigates direct rebound effect of urban residential electricity use in china using china s 30 provincial government panel data from1996 to 2010 we build a co integration equation and a panel error correction model to analyze the direct rebound effect the results indicate that an obvious rebound effect in the chinese urban residential electricity consumption does exist specifically the long term rebound effect is 0 74 while the short term rebound effect is 0 72 therefore the rebound effect significantly impairs functions of energy efficiency policies for this reason chinese government should take the rebound effect into consideration when formulating energy policies

empirical evidence of direct rebound effect in catalonia this paper reviews the empirical literature concerning the direct rebound effect in households it briefly analyzes the main theoretical and methodological aspects and finally estimates the magnitude of direct rebound effect for all energy services using electricity in households of catalonia spain using econometric techniques the main results show an estimated direct rebound effect of 35 in the short term and 49 in the long term the existence of a rebound effect reduces the effectiveness of energy efficiency policies

sraffa s system equal rate of profits and the notion of center of gravitation abstract this paper argues that the condition of uniform rate of profits in sraffa s system is not based on his implicit assumption that the system is at the equilibrium or the center of gravitation it is rather a logical requirement of a reproducing system of basic goods as long as prices are not imposed from outside the system this condition holds irrespective of supplies being equal to their respective effectual demands it conjectures that sraffa could have arrived at this conclusion through his analysis of the standard system on the basis of this result a critique of the received interpretation led by garegnani of sraffa s prices is developed

preferences in a communal economic system a voluntary communal economic system differs from most types of economic organizations in that its members prefer to carry out certain activities collecti vely and significant production and consumption activities take plac e within it communal systems are analytically modeled in the article as household production units or centrally planned economies the mo del is employed to evaluate the source of changes in consumption of i sraeli kibbutzim between 1955 and 1965 by focusing on changes in pric es technologies resources and preferences evaluating the stability of preferences hypothesis raised by g stigler and g becker 1977 copyright 1987 by the review of economic studies limited

on the keynesian notion of equilibrium and dynamics harrod had always maintained that keynes s treatise was much more amenable for dynamic analysis than the general theory however in much of the later work on keynesian dynamics the general theory became the foundation in this paper i argue that recent developments in neoclassical general equilibrium theory have the effect of undermining the conventional keynesian conception of dynamics based on the general theory and recasting keynes as a coarse precursor of modern general equilibrium analysis opposing this renewed orthodox reinterpretation of keynes might require a reconsideration of the treatise as the foundation for an alternative keynesian dynamics 1996 academic press limited

multiple input multiple output production choices and technology in the u s wheat region duality theory motivates a translog expected profit function consistent with multiple products price uncertainty preseason climate constraints acreage control policies and possibly nonhomothetic technology although multiple outputs are allowed enterprise specific data is not necessary instead time series measures of output revenues and expected prices input expenses and prices and fixed input flows are employed appropriate measures of elasticities of choice returns to size and biases in technological change are derived results indicated decreasing returns to size rather limited though complementary responsiveness of choices to price changes and the nature of biases in technological changes

sraffian indeterminacy in general equilibrium the indeterminacy claim for competitive price systems made by sraffa 1960 is examined by placing sraffa s work in an intertemporal general equilibrium model we show that indeterminacy occurs at a natural type of equilibrium moreover the presence of linear activities instead of a differentiable technology is crucial and the indeterminacy is constructed as in sraffa by fixing some or all of the economy s aggregate quantities on the other hand an extra condition that some factors have inelastic excess demand is necessary and unlike sraffa s model relative prices must be allowed to vary through time sraffian indeterminacy and the generic finiteness of the number of equilibria are reconciled by showing that indeterminacy occurs at a measure zero set of endowments we use an overlapping generations model to show that these endowments nevertheless arise systematically and that indeterminacy does not occur when relative prices are constant through time near the beginning of his production of commodities by means of commodities 1960 sraffa specifies a system of equations that prices must obey if the capital invested in each sector of an economy is to earn the same rate of profit the system contains one more unknown than equation leading sraffa to conclude that prices and wage and interest rates in particular are indeterminate sraffa s book has since been read as arguing that some outside non economic consideration must therefore set prices and the distribution of income part of the controversy the book has provoked is due to sraffa s apparent agreement with the neoclassical emphasis on optimization and competitive markets the standard sraffian system of equations is nothing other than the first order conditions that hold for price taking profit maximizing firms using linear activities but if sraffa s assumptions are in accord with neoclassical theory how can his assertions of indeterminacy be correct i examine sraffa s indeterminacy argument and his critique of neoclassical economics by embedding his equations in a general equilibrium model as we will see the indeterminacy claim properly interpreted correctly describes the equilibria with strictly positive prices moreover the indeterminacy demonstrated here closely duplicates the indeterminacy sraffa claimed first it is prices alone that are indeterminate i follow sraffa s striking procedure of fixing the quantities of goods produced an infinity of normalized price vectors support a single vector of aggregate quantities second sraffa seemed to claim and his advocates e g robinson 1961 have certainly claimed that his book is a critique of marginal productivity theory correspondingly indeterminacy in the present model hinges on marginal products not being everywhere well defined when there are linear activities with smooth production sets our indeterminacy arguments do not work third the dimension of the indeterminacy i demonstrate matches sraffa s accounting of the dimension of indeterminacy

the dynamics of optimal wealth distributions with recursive utility abstract in an economy with two agents having recursive preferences an optimal wealth distribution is shown to be stable if and only if a perturbation results in the adversely affected agent becoming more patient than the positively affected one this implies a weaker stability condition than traditionally used in the literature

energy efficiency and household behavior the rebound effect in the residential sector over the years various efficiency policies have been designed and implemented to reduce residential energy consumption however it is very common that the policy expectations that are based upon engineering calculations do not come true the widely accepted explanation for the gap between expectation and the realization is the change of household behavior as the energy efficiency gains change the perceived cost of energy services and thereby generate shifts in consumption patterns the rebound effect the real controversy about the rebound effect lies in the identification of its magnitude in this paper we estimate the rebound effect in residential energy consumption by comparing the actual gas consumption levels with the ex ante predictions within a sample of well over 600 000 dutch dwellings and households we find a significant deviation between the engineering predictions and the households actual energy consumption a difference which varies by ownership wealth income and the actual gas use intensity our results show a rebound effect of 26 7 percent among home owners and 41 3 percent among tenants moreover we find that these effects are greatest among the lower income wealth groups and among households that tend to use more gas than average

convergence of equilibria in an intertemporal general equilibrium model a dynamical system approach abstract in this paper we show that searching pareto optima in an intertemporal equilibrium model is equivalent to solving a family of mckenzie models defined by a vector of the unit simplex we use negishi s method to prove the existence of equilibria we then extend scheinkman s method to demonstrate that when the discount factor of the utility functions is sufficiently near one every equilibrium trajectory converges to a steady state

agricultural production technologies with systematic and stochastic technical change a production system modeling tool is developed that implements recent work on autoregressive and endogenous stochastic production technologies associated with generalized fechner thurstone gft optimizing functions a gft class production system is used to evaluate the empirical support for technology specifications inherent in the neoclassical theoretic structure of an agricultural production region little likelihood support is found for zero serial correlation elimination of systematic technology changers from the production system strict neoclassical production technologies hicks neutral technical change or zero homogenous factor demand functions

on the present state of the capital controversy the post war capital controversy seems to have had two distinguishable stages thanks to the unambiguous phenomena of reswitching and reverse capital deepening the first stage was conclusive in discarding from pure theory the traditional versions of neoclassical theory that relied on the notion of capital as a single quantity subsequently however when the implications of those phenomena took centre stage in the controversy together with the reformulations of the theory which intended to do away with the quantity of capital several misunderstandings prevented i shall contend decisive progress in the analysis and we entered an inconclusive phase of the discussion

reform of refined oil product pricing mechanism and energy rebound effect for passenger transportation in china new huadu business school research fund china sustainable energy program of the energy foundation g 1203 15828 national social science foundation of china 12zd059 ministry of education 10gbj013

asymptotic properties of a leontief economy abstract in this paper we discuss the asymptotic properties of equilibrium quantities of a leontief economy when agents have additively separable utilities we estimate the rate of growth of equilibrium quantities and prices that either tend to zero or infinity or remain bounded below and above by strictly positive vectors in the case of homogeneous preferences we prove that the quantities of any equilibrium converge to those of an equilibrium that grows at a constant rate

environmental rebound effect of energy efficiency improvements in colombian households abstract colombia aims to diversify and decarbonize its energy sector by encouraging the use of non conventional renewable resources policies and or measures to achieve this will presumably help to achieve national and international environmental goals yet potential rebound effects may reduce its efficacy by triggering additional demand and environmental burdens one of such rebound effects may take place as household demand rises in response to cheaper electricity prices due to the increasing shares of wind power this study assesses the environmental rebound effect ere in the household sector from increased shares of wind power into the colombian power grid across six environmental impacts and for the period 2020 2030 the method used combines life cycle assessment input output modelling energy system modelling econometrics and re spending modelling the results show that the ere has the potential to partially and even completely offset any environmental savings backfire effect depending on the specific impact year and modelling choices considered the magnitude of the ere as the percentage of potential environmental savings that are offset ranges highly across impacts from a negligible 1 eutrophication to a staggering 9241 photochemical ozone creation the ere has thus the potential to render decarbonization policies largely ineffective which calls for rebound mitigation policies such as environmental taxes

the contemporary relevance of a cambridge tradition economics as political economy political economy as social theory and ethical theory in this review essay i set out key aspects of nuno martins the cambridge revival of political economy in so doing i also provide some comments on the current state of economics since these provide some context for an appreciation of what martins is trying to achieve martins is focused on making the positive case for classical political economy cpe as a form of theory that is quite different from the modern mainstream for martins that difference is based on its approach to the distribution of a surplus expressed through a social ontology that is based on historical open systems and in which the key aspect of open systems is the institutional and hence deliberative activity by which the surplus is decided which is ultimately an issue for ethics it is through a cambridge tradition focusing on sraffa keynes lawson and sen that cpe a classical social theory and ethical deliberation are brought together bringing them together is an act of synthesis and i conclude by providing a constructive critique of the terms of this synthesis

values prices and wage profit curves in the us economy this paper presents labor values and prices of production calculated for the postwar u s economy using a seventy one sector input output model with fixed capital as well as actual wage profit curves during the same period it is found that the cross sectional deviations of values and prices of production from market prices are quite small between 12 and 14 percent on average over time approximately 75 percent of the variation of market prices is accounted for by changes by both values and prices of production and 93 percent of the variation of prices of production is accounted for by changes in labor values wage profit curves exhibit near linearity casting some doubt on the significance of reswitching for actual economies copyright 1989 by oxford university press

the neo ricardians focuses on the neoclassical theory of economics in great britain calculation for the standard commodity assumptions of piedro sraffa on the cycle of production functions of the rate of return ebsco

the effectiveness of energy efficiency improvement in a developing country rebound effect of residential electricity use in south korea abstract the government of south korea considers an energy efficiency improvement policy an effective economic measure for climate change like many other governments but it is unaware of any rebound effect the unexpected result of energy efficiency improvement so the rebound effect of residential electricity use in south korea was estimated using two different scales in this paper at the macro level the rebound effect was estimated indirectly by using price elasticity and at the micro level the rebound effect of individual home appliances was estimated directly by using a non linear relationship between energy efficiency and energy use at the macro level the long and short term results of rebound effect were estimated at 30 and 38 respectively also at the micro level the rebound effect of air conditioners was 57 70 while refrigerators showed only a composite of rebound and income effects finally there was no backfire effect and efficiency improvement brought energy reduction in conclusion these suggest that rebound effect is an important factor that the government of south korea must consider when planning its energy efficiency improvement policy

stochastic turnpike property and stationary equilibrium abstract i study the stability properties of a stochastic equilibrium growth model with a finite number of infinitely lived consumers the exogenous stochastic environment is represented by a stationary stochastic process that influences preferences technology and primary resources consumers maximize the expected sum of discounted utilities production is intertemporal and primary resources are assumed to be necessary for the production of capital goods by adapting standard assumptions in general equilibrium theory and turnpike theory i show that if consumers have homogeneous discount factors close enough to one the allocation of an interior equilibrium converges to the allocation of a stationary equilibrium with transfer payments this result is used to prove the existence of a stationary equilibrium

induced bias of technical change in agriculture the united states and japan 1880 1980 because of extreme differences in factor endowments and price ratios among factors between the united states and japan both countries have experienced sharply different patterns of factor use and productivity growth in agriculture for the past 100 years of modern economic growth in this study the method of testing the hicksian hypothesis of induced innovation was developed using the two level ces production function the model was applied to the historical data of u s and japanese agricultural development for 1880 1980 the results were consistent with the hypothesis that different patterns of technical change in the two countries were induced by differences in the levels and the movements in relative factor prices

occupant behaviour as a fourth driver of fuel poverty aka warmth energy deprivation a conceptual framework for occupant behaviour as a driver of fuel poverty is presented comprising housing and use of the home heating and energy arrangements and thermal comfort household structure and dynamics health and well being household finances and social activity and relations this framework informs longitudinal analysis of movements into and out of fuel poverty among households in deprived communities in glasgow household surveys across ten years yielded a longitudinal sample of 3297 cases where initial and subsequent fuel poverty status was recorded using an experiential measure a third of households changed their fuel poverty status over time 18 moving out of fuel poverty and 16 moving in factors strongly associated with movements into fuel poverty included being a single parent or 2 27 experiencing a mental health problem or 2 74 and remaining out of work or 1 89 movement out of fuel poverty was less likely among those with infrequent family contact or 0 55 and who moved home or 0 66 home improvements had no effect upon the experience of fuel poverty it is argued that the policy problem should be considered one of warmth and energy deprivation accompanied by a broader interpretation of vulnerability to as well as from fuel poverty

the sensitivity of the true cost of living to price induced and income induced changes in aggregate consumers tastes this article examines the sensitivity of the cost of living to some aspects of price changes and income changes that cannot be detected by laspeyres indexes like the cpi u or cpi w effects of price induced and income induced changes in consumers tastes on the cost of living in the united states from 1947 to 1981 are estimated and found to be generally substantial

on the unprofitability of utility demand side conservation programmes abstract this paper analyses the economic prospects of demand side conservation programmes the essence of various proposals is that conservation measures should be a part of least cost planning at least if marginal production costs are high and consumers decisions are distorted market failures the weakness of this literature is that it assumes that the consumers remain passive when the utilities invest in conservation this paper remedies this deficiency and considers strategic interactions between consumers and a public utility stackelberg equilibria it will be shown that strategic interactions render unprofitable demand side conservation programmes that appear profitable by conventional criteria the reason is that rational consumers will respond strategically to the prevalence of utility sponsored conservation programmes by minimizing their own expenses for energy efficiency

the dynamics of efficient intertemporal allocations with many agents recursive preferences and production abstract the local dynamics of efficient allocations are studied for heterogeneous agent economies with production where preferences are recursive but not time separable in the case of a one sector neoclassical technology it is shown that optimal trajectories locally converge to a unique steady state provided that every agent s utility satisfies normality and increasing marginal impatience conditions in the two sector case with the above restrictions on preferences it is shown that oscillations can result only if the consumption goods sector is sufficiently capital intensive

estimating broad brush rebound effects for household energy consumption in the eu 28 countries and norway some policy implications of odyssee data abstract currently there is a strong policy commitment in european union eu and organisation for economic co operation and development oecd countries to increase the energy efficiency of residential buildings and it is widely assumed that this will naturally and automatically reduce domestic energy consumption however other factors such as fuel prices wages attitudes and lifestyles also influence energy consumption this paper calculates broad brush rebound effects based on changes in energy efficiency and energy consumption in each of the 28 eu countries plus norway for the years 2000 2011 in doing so it tests how well the assumption of energy efficiency leading to energy reduction stands up to scrutiny in these lands it uses the eu s odyssee database for efficiency and consumption figures and a commonly employed econometric definition of the rebound effect as an energy efficiency elasticity most older eu lands show rebound effects in the expected range of 0 50 however the range for newer eu countries is 100 550 suggesting that energy efficiency increases are not a good predictor of energy consumption a more in depth look at one country germany suggests these results underestimate the rebound effect significantly this also identifies research needs for specific energy consumption determinants in each country to find more precisely what is driving consumption levels

sraffian indeterminacy a critical discussion this paper is aimed at discussing mandler s interpretation of sraffa s price theory in particular we will analyse mandler s idea that an institutional determination of distribution suggested by sraffa could be solidly advanced only in the case of equilibrium price indeterminacy in intertemporal sequential models first it will be shown that this kind of indeterminacy arises from an arbitrary use of the tendency to a uniform rate of return on the supply prices of capital goods second it will be remarked that when sraffa s contribution is placed as it should within the classical theory of value and distribution no price or sraffian indeterminacy will result finally we will argue that mandler s emphasis on the non arbitrariness of the capital goods endowments which is at the root of his indeterminacy result naturally leads to refer to those normal positions of the economy whose only possible consistent determination is sraffa s price theory copyright the author 2011 published by oxford university press on behalf of the cambridge political economy society all rights reserved oxford university press

investment in u s agriculture resource adjustment problems in u s agriculture are motivated against the background of the farm problem the adjustment cost hypothesis is invoked to specify and estimate consistently a system of dynamic investment demand and output supply equations by utilizing recent advances in dynamic duality theory the investment demand equations assume the form of a multivariate flexible accelerator results indicate that labor capital services and land exhibited quasi fixity while intermediate materials were a variable factor this can be construed as a form of asset fixity within aggregate u s agriculture the univariate flexible accelerator hypothesis is rejected

energy saving and energy efficiency concepts for policy making departing from the concept of rational use of energy the paper outlines the microeconomics of end use energy saving as a result of frugality or efficiency measures frugality refers to the behaviour that is aimed at energy conservation and with efficiency we refer to the technical ratio between energy input and output services that can be modified with technical improvements e g technology substitution changing behaviour from one side and technology from the other are key issues for public energy policy in this paper we attempt to identify the effects of parameters that determine energy saving behaviour with the use of the microeconomic theory the role of these parameters is crucial and can determine the outcome of energy efficiency policies therefore policymakers should properly address them when designing policies

the rebound effect for space heating empirical evidence from austria abstract the major focus of this paper is to investigate the magnitude of the rebound effect for space heating in austria different approaches are applied and compared the most important result of this investigation is that despite the fact that all approaches applied have their weaknesses and some results were not highly significant the final outcomes of the different approaches show quite good coincidence they provide evidence of a rebound effect between 20 and 30 the most important conclusions for energy policy makers are i standards with respect to building codes are very important tools to increase the thermal quality of new buildings ii due to prevailing low energy prices a triggering tool which may be rebates or loans has to be implemented to increase the efficiency of the building stock