In November 2014, OPEC announced a new strategy geared towards improving its market share. Oil-market analysts interpreted this as an attempt to squeeze higher-cost producers including US shale oil out of the market. Over the next year, crude oil prices crashed, with large repercussions for the global economy. We present a simple equilibrium model that explains the fundamental market factors th...

This paper is the first to evaluate the impact of a large-scale field deployment of mandatory timeof-use (TOU) pricing on the energy use of commercial and industrial firms. The regulation imposes higher user prices during hours when electricity is generally more expensive to produce, and is by far the most common way for time-varying incentives to be transmitted to retail electricity customers....

Using household travel diary data collected in Germany between 1997 and 2012, we employ an instrumental variable (IV) approach to estimate fuel price and effi ciency elasticities. The aim is to gauge the relative impacts of fuel economy standards and fuel taxes on distance traveled. We fi nd that the magnitudes of the elasticity estimates are statistically indistinguishable: higher fuel prices ...

The consumer response to changing gasoline prices has long interested economists and policymakers, for it has important implications for the effects of gasoline taxation and vehicle energy efficiency policies. This study examines both the elasticity of driving with respect to changing gasoline prices and heterogeneity in this elasticity by geography, the fuel economy of the vehicle, and the age...

This paper proposes a novel approach to measure and analyze the effect of temperature on electricity demand. This temperature effect is specified as a function of the density of temperatures observed at a high frequency with a functional coefficient, which we call the temperature response function. This approach contrasts with the usual approach to model the temperature effect as a function of ...

In this paper we investigate natural gas producer’s reactions to changes in market prices. We estimate price elasticities of aggregated supply in the most competitive market for natural gas: the United States. Using monthly time series data form 1987 to 2012 our analysis is based on an Autoregressive Distributed Lag (ARDL) Bound Cointegration approach to obtain short and long-run elasticities o...

This paper presents an overview of the main issues associated with the economics of offshore wind. Investment in offshore wind systems has been growing rapidly throughout Europe, and the technology will be essential in meeting EU targets for renewable energy in 2020. Offshore wind suffers from high installation and connection costs, however, making government support essential. We review variou...

In this paper, we provide a comprehensive multivariate cointegration analysis of three parts of the steam coal value chain – export, transport and import prices. The analysis is based on a rich dataset of international coal prices; in particular, we combine data on steam coal prices with freight rates, covering the period December 2001 until August 2009 at weekly frequency. We then test whether...

Rebound eff ects measure the behaviorally induced off set in the reduction of energy consumption following effi ciency improvements. Using both panel estimation and quantile-regression methods on household travel diary data collected in Germany between 1997 and 2009, this study investigates the heterogeneity of the rebound eff ect in private transport. With the average rebound eff ect being in ...

Rebound eff ects measure the behaviorally induced off set in the reduction of energy consumption following effi ciency improvements. Using both panel estimation and quantile-regression methods on household travel diary data collected in Germany between 1997 and 2009, this study investigates the heterogeneity of the rebound eff ect in private transport. With the average rebound eff ect being in ...