nep-ene New Economics Papers
on Energy Economics
Issue of 2013‒03‒30
27 papers chosen by
Roger Fouquet
Basque Climate Change Centre, Bilbao

  1. Modeling And Analysis Of Renewable Energy Obligations And Technology Bandings In the UK Electricity Market By Gurkan, G.; Langestraat, R.
  2. Introducing CO2 Allowances, Higher Prices For All Consumers; Higher Revenues For Whom? By Gurkan, G.; Langestraat, R.; Ozdemir, O.
  3. The Relationship Between Energy and Socio-Economic Development in the Southern and Eastern Mediterranean By Emanuel Bergasse; Wojciech Paczyñski; Marek D¹browski; Luc De Wulf
  4. A Spatial Approach to Energy Economics By Juan Moreno Cruz; M. Scott Taylor
  5. Individual Decisions And System Development - Integrating Modelling Approaches For The Heating Market By Klaas Bauermann; Stephan Spiecker; Christoph Weber
  6. Measuring the Impacts of Nuclear Accidents on Energy Policy By Zsuzsanna Csereklyei
  7. The energy transition of the transition economies : an empirical analysis By Zhang, Fan
  8. Investigation of the Effects of Emission Market Design on the Market-Based Compliance Mechanism of the California Cap on Greenhouse Gas Emissions By Charles A. Holt; William M. Shobe
  9. Trivariate Causality between Economic Growth, Urbanisation and Electricity Consumption in Angola: Cointegration and Causality Analysis By Solarin, Sakiru Adebola; Shahbaz, Muhammad
  10. Leakage, Welfare, and Cost-Effectiveness of Carbon Policy By Kathy Baylis; Don Fullerton; Daniel H. Karney
  11. Working Paper 170 - Development of Wind Energy in Africa By AfDB
  12. The Dynamic Effect of Oil Rent on Industrial Value Added: a SVAR Approach By Fakhri Issaoui; Talel Boufateh; Ghassen El Montasser
  13. A Nonlinear Analysis of CO2-Income Relation for Advanced Countries By Massimiliano Mazzanti; Antonio Musolesi
  14. ARCO1: An Application of Belief Networks to the Oil Market By Bruce Abramson
  15. Economic Evaluation of Energy Efficiency Labelling in Domestic Appliances: the Spanish Market By Ibon Galarraga; Josu Lucas
  16. The Dynamics of Lobbying under Uncertainty: On Political Liberalization in Arab Countries By Raouf Boucekkine; Fabien Prieur; Klarizze Puzon
  17. Energy, Knowledge and Economic Growth By John Foster
  18. The Resource Curse Exorcised: Evidence from a Panel of Countries By Brock Smith
  19. Transboundary pollution, R&D spillovers, absorptive capacity and international trade By Dinar, Zeineb
  20. Asymmetric and Non-atmospheric Consumption Externalities, and Efficient Consumption Taxation By Eckerstorfer, Paul; Wendner, Ronald
  21. Inteligencia de Mercados: Comportamientos estratégicos sobre precios de oferta en el mercado spot eléctrico Colombiano By John J. García,; O. Lucia Quintero M,; Manuela Bastidas Olivares
  22. Feedback Effects of Commodity Futures Prices By Michael Sockin; Wei Xiong
  23. Sustainability and Competitiveness in Evolutionary Perspectives. Environmental Innovations, Structural Change and Economic Dynamics in the EU By Massimiliano Mazzanti; Francesco Nicolli; Marianna Gilli
  24. Estimating Alternative Technology Sets in Nonparametric Efficiency Analysis: Restriction Tests for Panel and Clustered Data By Anne Neumann; Maria Nieswand; Torben Schubert
  25. Car and the city: Socio-technical pathways to 2030 By Gerardo Marletto
  26. An Internationalization Model to Enter the Northern Triangle Market By Carolina Marín Cadavid; John J. García
  27. Interconexión eléctrica Colombia-Panamá: impacto sobre el precio spot en Panamá By Jairo Andrés Correa; John J. García

  1. By: Gurkan, G.; Langestraat, R. (Tilburg University, Center for Economic Research)
    Abstract: Keywords: investment modeling in electricity markets, energy policy, renewable energy obligations, green certificates, technology bandings, perfect competition equilibrium
    JEL: C61 C63 H23 Q58
    Date: 2013
  2. By: Gurkan, G.; Langestraat, R.; Ozdemir, O. (Tilburg University, Center for Economic Research)
    Abstract: Abstract Introducing a ceiling on total carbon dioxide (CO2) emissions and allowing polluting industries to buy and sell permits to meet it (known as a cap-and-trade system) affects investment strategies, generation quantities, and prices in electricity markets. In this paper we analyze these effects under the assumption of perfect competition and make a comparison with another potential way of reducing CO2 emissions, namely a fixed carbon tax charged per unit emission. We deal with an energy only market and model it as a two-stage game where capacities are installed in the first stage and production takes place in the future spot market. For a stylized version of this model (with no network effects and deterministic demand), we show that at the equilibrium either one or a mixture of two technologies is used. Such a mixture consists of a relatively clean and a relatively dirty technology. In the absence of a ceiling on total emissions, marginal operating costs of different technologies form a fixed merit order; that is, the marginal costs are ordered in an ascending fashion. Based on the observed demand, this fixed merit order is used to determine the total number of technologies used so that all demand is satisfied. We show that, as long as there is enough capacity in the system, when a fixed maximum allowance level is introduced, different demand levels impose different prices for a unit of emission allowance, and consequently there is no fixed merit order on the technologies. Therefore, for different levels of observed demand one can find a different optimal mixture. We develop an algorithm for finding the induced optimal mixture in a systematic way. We show that the price of electricity and the price of allowances increase as the maximum allowance level decreases. When, in comparison, a fixed tax is charged for the emissions, the merit order is fixed for all demand levels and the first technology in the merit order is the only generating unit. By means of a numerical study, we consider a more general version of the model with stochastic demand and observe that a broader mixture of technologies is used to satisfy the uncertain demand. We show that if there is a shortage of transmission capacity in the system, only introducing financial incentives and instruments (such as taxation or a cap-and-trade system) neither is sufficient to curb CO2 levels nor 1 necessarily induces investment in cleaner technologies.
    Keywords: investment modeling in electricity markets;energy policy;carbon tax;emission allowances;perfect competition equilibrium
    JEL: C61 C63 H23 Q58
    Date: 2013
  3. By: Emanuel Bergasse; Wojciech Paczyñski; Marek D¹browski; Luc De Wulf
    Abstract: This report aims to identify, explain and detail the links and interactions in southern and eastern Mediterranean countries (SEMCs) between energy supply and demand and socio-economic development, as well as the potential role of energy supply and demand policies on both. Another related aim is to identify and analyse, in a quantitative and qualitative way, the changing role of energy (both demand and supply) in southern Mediterranean economies, focusing on its positive and negative impact on socio-economic development. This report investigates in particular: ? The most important channels through which resource wealth can contribute to or hamper economic and social development in the analysed region; ? Mechanisms and channels of relations between energy supply and demand policies and economic and social development. The burdens of energy subsidies and ‘oil syndrome’ are of particular relevance for the region. An integrated socio-economic development and energy policy scenario approach showing the potential benefits and synergies within countries and the region is developed in the final part of the report.
    Keywords: Southern Mediterranean Countries (SEMCs), Socio-Economic Development, Energy Demand, Energy Efficiency, Energy Prices, Energy Subsidies, Resource Curse, Dutch Disease, Oil Syndrome, Energy Policy, Socio-Economic Development Strategy, Targeted Subsidies, Integrated Energy Strategy, Energy Efficiency Action Plans, Renewable Energy Action Plans, Climate Policy, Regional Mediterranean Energy Cooperation, Arab Spring
    JEL: A10
    Date: 2013–03
  4. By: Juan Moreno Cruz; M. Scott Taylor
    Abstract: We develop a spatial model of energy exploitation where energy sources are differentiated by their geographic location and energy density. The spatial setting creates a scaling law that magnifies the importance of differences across energy sources. As a result, renewable sources twice as dense, provide eight times the supply; and all new non-renewable resource plays must first boom and then bust. For both renewable and non-renewable energy sources we link the size of exploitation zones and energy supplies to energy density, and provide empirical measures of key model attributes using data on solar, wind, biomass, and fossil fuel energy sources. Non-renewable sources are four or five orders of magnitude more dense than renewables, implying that the most salient feature of the last 200 years of energy history is the dramatic rise in the use of energy dense fuels.
    JEL: Q0 Q4 R0 R12
    Date: 2013–03
  5. By: Klaas Bauermann; Stephan Spiecker; Christoph Weber (Chair for Management Sciences and Energy Economics, University of Duisburg-Essen)
    Abstract: Improvements in the building stock insulation and the replacement of heating systems will have to take place within the next decades in order to lower heat demand and the associated carbon emissions of the building sector. Moreover, continuous investments in heating systems are nec-essary due to replacement activities. Besides conventional heating technologies like gas- or oil-fired heating systems and combined heat and power (CHP) plants in district heating, increasing-ly renewable systems like heat pumps and pellet stoves will have to be installed to cover heat demand. The current study presents an integrated, iterative modelling approach to determine the development of the heating market. A system model captures the fundamental influencing factors on the investment decision while a logistic decision model describes in detail the build-ing owners’ behaviour, taking into account the heterogeneous building stock and possible non-economic factors influencing heating system choice. In the application case, the potentials for different heating technologies are investigated under three different economic scenarios for the German heating market until 2050.
    Keywords: Heating, Residential Energy Demand, Discrete Choice, Peak Load Pricing
    JEL: Q47 Q48 E61 C53 C35
    Date: 2013–02
  6. By: Zsuzsanna Csereklyei (Department of Economics, Vienna University of Economics and Business)
    Abstract: This paper examines the history of nuclear energy, safety developments of reactors and nuclear energy policy from the 1950s on. I investigate the effects of nuclear accidents on energy policy with the help of a panel dataset of 31 countries from 1965-2009, using annual data about the capacity of reactors under construction, primary energy consumption, as well as three nuclear accidents scaled INES five or higher by the International Atomic Energy Agency. After determining the extent of the accident impact in the different countries, I find that neither Three Mile Island nor Lucens had a worldwide negative effect on construction starts, while Chernobyl did. The effect of Chernobyl is however shown to wear-off in certain geographical clusters, after ten to thirty years. I find that nuclear capacity enlargement shows a significant persistence, but it was also driven by primary energy consumption in the past five decades. The effects of real interest rates, inflation, or gross domestic product on reactor construction were not found significant. Thus, an accident is likely to have a negative and long lasting impact in the country where it happened, and possibly in countries affected by the direct consequences, or where governments are subject to severe public pressure. It is difficult to estimate the consequences Fukushima is going to have on worldwide power plant constructions, but areas closer to the accident might be affected more negatively and for a longer time. Growing concerns of energy supply security and greenhouse gas emissions may counteract this impact at the legislative level.
    Keywords: Nuclear Energy, Nuclear Accidents, Energy Policy, Panel Regression
    JEL: C33 C52 Q41 Q43
    Date: 2013–03
  7. By: Zhang, Fan
    Abstract: The aggregate manufacturing energy intensity of 28 countries in Eastern Europe and Central Asia had declined by 35 percent during 1998-2008. This study reveals strong evidence of convergence: less efficient countries improved more rapidly and the cross-country variance in energy productivity narrowed over time. An index decomposition analysis indicates that energy intensities declined largely because of more efficient energy use rather than shifts from energy intensive to less intensive manufacturing activities. Income growth and energy price increases were the main drivers of the convergence. They dominated the impact of trade, which led to specialization in energy intensive industries.
    Keywords: Energy Production and Transportation,Environment and Energy Efficiency,Energy and Environment,Energy Demand,Climate Change Economics
    Date: 2013–03–01
  8. By: Charles A. Holt (University of Virginia); William M. Shobe (University of Virginia)
    Abstract: The state of California has implemented an economy-wide program to regulate its greenhouse gas emissions. A significant share of the emission reductions will be obtained via a cap and trade program with a mix of auctioning and free allocation of allowances. This program has a number of novel design features including, among other things, a price containment reserve, a limit on ownership of allowances, and the forced consignment to auction of some of the share of freely allocated allowances. We use a series of laboratory experiments to test the influence of two of these design features on the performance of the emissions market. We test the effect of holding limits and of the new three-tier price containment sale mechanism. We find that tight holding limits used to prevent market dominance reduce liquidity and appear to harm market efficiency and price discovery. The price containment sale mechanism reduces price spikes during periods of high allowance demand and has different effects on market performance than releasing the price containment reserve as part of the auction of allowances. We discuss the implications for the design of price containment reserves.
    Keywords: Emission markets; experiments; cap and trade; greenhouse gas emissions; market design
    Date: 2013–02–18
  9. By: Solarin, Sakiru Adebola; Shahbaz, Muhammad
    Abstract: This paper investigates the causal relationship between economic growth, urbanisation and electricity consumption in the case of Angola, utilizing the data over the period of 1971- 2009. We have applied Lee and Strazicich (2003, 2004) unit root test to test the stationarity properties of the series. Gregory-Hansen structural break cointegration procedure as complement, we employed the ARDL bounds test to examine long run relationship. The VECM Granger causality test is subsequently used to examine the direction of causality between economic growth, urbanisation and electricity consumption. Our results indicate the existence of long run relationship. We further observe evidence in favour of bidirectional causality between electricity consumption and economic growth. The feedback hypothesis is also found between urbanization and economic growth. Urbanization and electricity consumption Granger cause each other. We conclude that Angola is an energy (electricity) dependent country. Consequently, the relevant authorities should boost electricity production as one of the means of achieving sustainable economic development for long span of time.
    Keywords: Electricity; Growth; Urbanisation
    JEL: D6
    Date: 2013–03–01
  10. By: Kathy Baylis; Don Fullerton; Daniel H. Karney
    Abstract: We extend the model of Fullerton, Karney, and Baylis (2012 working paper) to explore cost-effectiveness of unilateral climate policy in the presence of leakage. We ignore the welfare gain from reducing greenhouse gas emissions and focus on the welfare cost of the emissions tax or permit scheme. Whereas that prior paper solves for changes in emissions quantities and finds that leakage may be negative, we show here that all cases with negative leakage in that model are cases where a unilateral carbon tax results in a welfare loss. With positive leakage, however, a unilateral policy can improve welfare.
    JEL: Q27 Q28 Q56 Q58
    Date: 2013–03
  11. By: AfDB
    Date: 2013–03–19
  12. By: Fakhri Issaoui; Talel Boufateh; Ghassen El Montasser
    Abstract: This paper studies the dynamic effect of oil rents on industrial added value in a sample of countries with different levels of development. Using a SVAR model, we tested the effect of a real shock and a nominal shock on the variables of the model. The main obtained results are three. First, we confirmed that the Dutch disease (DD) problem is a short-term phenomenon that takes place each time there is a shock on oil rents. Second, the ephemeral nature of the phenomenon confirms the neoclassical assumption stating that the effect of nominal shocks on real variables is only short term. Third, the effect of long-term real shock on oil rents is positive for all countries which score interdependence between industry on the one hand and oil rents on the other.
    Keywords: Dutch disease, Oil rents, Industrial added value, SVAR, Tunisia.
    JEL: E37 Q32 Q34 Q38 Q43
    Date: 2013–03–04
  13. By: Massimiliano Mazzanti; Antonio Musolesi
    Abstract: We study long run carbon emissions - income relationships for advanced countries grouped in policy relevant groups - North America and Oceania, South Europe, North Europe. By relying on recent advances on Generalized Additive Models and adopting interaction models, we handle simultaneously three main econometric issues, named here as functional form bias, heterogeneity bias and omitted time related factors bias, which have been proved to be relevant but have been addressed separately in previous papers. We consider a model which includes both country-specific nonparametric time effects and country-specic nonparametric income effects. We find that country-specic time related factors weight more than income in driving the northern EU Environmental Kuznets Curves, that cross country heterogeneity is high and that only two countries - Finland and Sweden - show bell shapes for both income and time relationships to CO2. Overall, the countries differ more on their carbon-time relation than on the carbon-income relation which is in almost all cases monotonic positive. The former may represent idiosyncratic innovation, energy and policy features of the countries under study.
    Keywords: Semi parametric models; GAM; interaction models; environmental Kuznets curve
    JEL: C14 C23 Q53
    Date: 2013–02–14
  14. By: Bruce Abramson
    Abstract: Belief networks are a new, potentially important, class of knowledge-based models. ARCO1, currently under development at the Atlantic Richfield Company (ARCO) and the University of Southern California (USC), is the most advanced reported implementation of these models in a financial forecasting setting. ARCO1's underlying belief network models the variables believed to have an impact on the crude oil market. A pictorial market model-developed on a MAC II- facilitates consensus among the members of the forecasting team. The system forecasts crude oil prices via Monte Carlo analyses of the network. Several different models of the oil market have been developed; the system's ability to be updated quickly highlights its flexibility.
    Date: 2013–03
  15. By: Ibon Galarraga; Josu Lucas
    Abstract: This paper estimates the economic value that consumers place on energy efficiency (EE) labels for appliances in the Spanish market. <br /> It uses the hedonic method to calculate the price premium paid in the market for that attribute isolated from others. Furthermore, the Quantity Based Demand System (QBDS) is applied to calculate the own and cross price elasticities of demand for both EE appliances and others. <br /> These elasticities are useful for improving the design of policies to promote EE. The paper looks at three different appliances marketed in Spain during 2012: washing machines, fridges and dishwashers.
    Date: 2013–03
  16. By: Raouf Boucekkine (Aix-Marseille University (Aix-Marseille School of Economics, CNRS & EHESS, IRES and CORE, Université Catholique de Louvain.); Fabien Prieur (LAMETA, Université Montpellier I and INRA); Klarizze Puzon (LAMETA, Universite Montpellier I.)
    Abstract: We consider a framework à la Wirl (1994) where political liberalization is the outcome of a lobbying differential game between a conservative elite and a reformist group, the former player pushing against political liberalization in opposition to the latter. In contrast to the benchmark model, we introduce uncertainty. We consider the typical case of an Arab oil exporter country where oil rents are fiercely controlled by the conservative elite. We assume that the higher the oil rents, the more reluctant to political liberalization the elite is. Two states of nature are considered (high vs low resource rents). We then compute the Market-perfect equilibria of the corresponding piecewise deterministic differential game. It is shown that introducing uncertainty in this manner increases the set of strategies compared to Wirl's original setting. In particular, it is shown that the cost of lobbying might be significantly increased under uncertainty with respect to the benchmark. This ultimately highlights some specificities of the political liberalization at stake in Arab countries and the associated risks.
    Keywords: Rent-seeking, lobbying, natural resources, Arab countries, piecewise deterministic differential games
    JEL: D72 C61 C73
    Date: 2013–03–15
  17. By: John Foster
    Abstract: It is argued that the explosive growth experienced in much of the World since the middle of the 19th Century is due to the exploitation and use of fossil fuels which, in turn, was made possible by capital good innovations that enabled this source of energy to be used effectively. Economic growth, it is argued, has been due to an autocatalytic co-evolution of energy use and the application of new knowledge relating to energy use. A simple 'evolutionary macroeconomic' model of economic growth is developed and tested using almost two centuries of British data. The empirical findings strongly support the hypothesis that growth has been due to the presence of a 'super-radical innovation diffusion process.' Also, the evidence suggests that large and sustained movements in energy prices have had a very significant long term role to play. The paper concludes with an assessment of the implications of the findings for the future prospects of economic growth in Britain and the possible lessons that can be learned about the future of the global economy.
    Date: 2013–03–18
  18. By: Brock Smith (Department of Economics, University of California Davis)
    Abstract: This paper evaluates the impact of major natural resource discoveries since 1950 on GDP per capita and other economic and social indicators. Using panel fixed-effects estimation ad resource discoveries in countries that were not previously resource-rich, I find a positive effect on GDP per capita following extraction that persists in the long term, in contrast with much of the resource curse literature that uses cross-sectional designs. I also find positive effects on education levels, reductions in infant mortality, and negative effects on democratic institutions. I further test these outcomes with synthetic control analysis, yielding results consistent the fixed-effects model.
    Keywords: Resource Curse, Oil, Economic Growth
    JEL: O44 Q32
    Date: 2013–03–18
  19. By: Dinar, Zeineb
    Abstract: In this paper, we consider a non-cooperative and symmetric three-stage game model composed by two regulator-firm hierarchies. By means of adequate emission taxes, original and absorptive research and development (R&D) subsidies we prove that regulators can reach the non-cooperative social optimum. In the presence of free R&D spillovers between countries, as well as the investment in absorptive research, the competition of firms on a common market helps non-cooperating countries to better internalize transboundary pollution. We find that in autarky and common market cases the investment in absorptive R&D leads to multiple non-cooperative equilibria, which may necessitate competing regulators to coordinate an equilibrium. Interestingly, opening markets to international trade increases the per-unit emission-tax and the per-unit original research subsidy. It causes a higher investment in original research and production, and a lower emission ratio. --
    Keywords: Transboundary pollution,R&D spillovers,absorptive capacity,international trade
    JEL: C72 H21 O32 D62
    Date: 2013
  20. By: Eckerstorfer, Paul; Wendner, Ronald
    Abstract: We analyze the effects of a generalized class of negative consumption externalities (asymmetric and non-atmospheric) on the structure of efficient commodity tax programs. Households are not only concerned about consumption reference levels — that is, they gain utility from “keeping up with the Joneses” — they also exhibit altruism. Two sets of efficient tax regimes are compared, based, on a welfarist- and a non-welfarist optimality criterion, respectively. Altruism turns out not to be at odds with the consumption externalities. Rather, altruism implicates a bound on efficient utility allocations. A non-welfarist government tolerates less inequality than a welfarist one. In the welfarist (non-welfarist) case, first-best personalized commodity tax rates respond highly sensitively (barely) to whether or not a consumption externality is asymmetric or non-atmospheric. If personalized commodity tax rates are not available (second-best case), the tax rate on a non- positional good is typically different from zero for corrective reasons. For plausible functional forms and parameter values, numerical simulations suggest that second-best tax rates are rather insensitive with respect to both the optimality criterion and the “nature” of the consumption externality.
    Keywords: Consumption externality, keeping up with the Joneses, optimal (commodity) taxation, genuine altruism, non-welfarist government
    JEL: D62 H21 H23
    Date: 2013–01–17
  21. By: John J. García,; O. Lucia Quintero M,; Manuela Bastidas Olivares
    Abstract: Resumen: El mercado de energía mayorista es uno de los sectores industriales más competitivos de Colombia, y representa uno de los ejes principales en la economía del país. Este mercado ha sido objeto de estudio de varias áreas de conocimiento como la ingeniería eléctrica, economía, finanzas y otros. Aquí se presenta un análisis de los posibles comportamientos estratégicos de los principales agentes de la industria, desde la perspectiva de la inteligencia artificial orientada a la inteligencia de mercados, es decir, un trabajo multidisciplinar centrado en la explicación y emulación de la conducta inteligente y posiblemente estratégica de los agentes involucrados en la actividad de generación de energía en Colombia. Abstract: The energy market is one of the most competitive Colombian industry sectors, and represents one of the main strategic focus in economy and development of the country. This market has been under study of many knowledge areas such as electric engineering, economy, financial and others. In this work, is presented an analysis of all the possible strategic behaviors of major industry players, from the basis of artificial intelligence oriented to market intelligence, that is, a multidisciplinary work focused on the explanation and emulation of intelligent behavior and possibly strategic of the actors involved in each market activities and in particular the behavior of energy-generating agents in Colombia.
    Date: 2013–02–17
  22. By: Michael Sockin; Wei Xiong
    Abstract: A widely held view posits that when speculators drive up the futures price of a commodity, real demand must fall. This paper develops a model to contrast this view through an informational feedback effect. Our model builds on two practical observations: 1) Futures prices of key industrial commodities such as copper and oil became barometers of global demand in the recent decade as a result of the rapid economic expansions of emerging economies; and 2) complementarity exists in industrial producers' production decisions as a result of their need to trade produced goods. In the presence of information frictions and production complementarity, an increase in commodity futures prices, even if driven by non-fundamental factors, signals strong global economic strength, and may thus induce increased commodity demand.
    JEL: F3 G1 G14
    Date: 2013–03
  23. By: Massimiliano Mazzanti; Francesco Nicolli; Marianna Gilli
    Abstract: We take a sector based perspective to investigate the EU economic, environmental and innovation performances. We correlate the various sector performances taking into account the role of changing specialization. In addition, we examine sector environmental performances related factors through shift-share decomposition analysis. We show that vivid divergences in environmental, economic and innovation performances exist between EU countries. The leading role of Germany emerges, with strong underpinnings in its economic specialization rooted on manufacturing. France excels in some services, while Italy suffers. Germany and Sweden more than others present win win economic-environmental sector performances. On the basis of our investigation economic and environmental performances are effectively potentially interrelated. Examples of integrated innovation-economic-environmental performances appear. Nevertheless, the sector view highlights that the underpinnings of macro performance rely on various structural change and innovation elements. Further research could investigate how composition effects and innovation changes correlate towards the achievement of sustainable economic development.
    Keywords: Environmental innovation; economic performance; decomposition; meso economics
    JEL: Q53 Q55
    Date: 2013–01–04
  24. By: Anne Neumann; Maria Nieswand; Torben Schubert
    Abstract: Nonparametric efficiency analysis has become a widely applied technique to support industrial benchmarking as well as a variety of incentive- based regulation policies. In practice such exercises are often plagued by incomplete knowledge about the correct specifications of inputs and outputs. Simar and Wilson (2001) and Schubert and Simar (2011) propose restriction tests to support such specification decisions for cross-section data. However, the typical oligopolized market structure pertinent to regulation contexts often leads to low numbers of cross-section observations, rendering reliable estimation based on these tests practically unfeasible. This small-sample problem could often be avoided with the use of panel data, which would in any case require an extension of the cross-section restriction tests to handle panel data. In this paper we derive these tests. We prove the consistency of the proposed method and apply it to a sample of US natural gas transmission companies in 2003 through 2007. We find that the total quantity of gas delivered and gas delivered in peak periods measure essentially the same output. Therefore only one needs to be included. We also show that the length of mains as a measure of transportation service is non-redundant and therefore must be included.
    Keywords: Benchmarking models, network industries, nonparametric efficiency estimation, data envelopment analysis, testing restrictions, subsampling, Bootstrap
    JEL: C14 L51 L95
    Date: 2013
  25. By: Gerardo Marletto
    Abstract: A socio-technical approach is used to show that the future of urban mobility will depend on the competition between coalitions of innovative actors who support alternative transport systems. The current positioning of these coalitions is mapped with reference to innovation and power. The supporting coalition of the ‘individual car’ system benefits from a dominant position on current alternatives, but faces external pressures for change. Three transition pathways to 2030 are considered - 1) ‘AUTO-city’, i.e. the reconfiguration of the ‘individual car’ supporting coalition through the stable integration of producers of batteries; 2) ‘ECO-city’, i.e. the empowering of local coalitions which integrate all non-car modes, and their diffusion from pioneering to laggard cities; 3) ‘ELECTRI-city’, i.e. the empowering of a new coalition centered on electric operators which establish a new ‘electric vehicles + smart grids’ system. The deployment of one or another transition pathway also depends on the ability of supporting coalitions to influence political institutions. Without a political action for the weakening of the dominant position of the ‘individual car’ system, the ‘AUTO-city’ transition pathway will prevail. To support the ‘ECO-city’ and the ‘ELECTRI-city’ transition pathways, a multilevel transport policy or a national/federal industrial policy is needed, respectively.
    Keywords: Urban mobility; socio-technical analysis; socio-technical transition; innovative actor; supporting coalition
    JEL: R40 L14 O18 Q55
    Date: 2013
  26. By: Carolina Marín Cadavid; John J. García
    Abstract: An internationalization model is proposed for a Colombian company specialized in design and consulting engineering services related to the energy sector. The study of these services is relatively new in internationalization and competitiveness, therefore of great interest for research purposes. The model is created with the purpose of conquering the Northern Triangle market (Guatemala, Honduras, El Salvador). Different internationalization theories, such as the Eclectic Paradigm, the Uppsala Model and the Five Competitive Forces were considered. Different assessments were carried out based on qualitative and quantitative data through the case study method in which analyses were performed to generate and evaluate the main variables in the model. Outcomes assure that, HMV Ingenieros Ltda (a Colombian company) is prepared to start commercial presence in the Northern Triangle considering the Step-by-Step model as the way to reach the studied market. In addition, analysis of macroeconomic trends finds Guatemala as the best potential market.
    Date: 2013–03–14
  27. By: Jairo Andrés Correa; John J. García
    Abstract: El objetivo de este paper es analizar el impacto que tendría la integración energética prevista entre Colombia y Panamá sobre el precio spot en Panamá. Por medio de un modelo de Vectores de Corrección del Error (VEC) con datos mensuales entre 2000 y 2011 y un análisis impulso-respuesta del comportamiento del precio Spot ante choques de importaciones e incrementos de costos de combustibles de las centrales térmicas en Panamá y exportaciones desde Colombia y un pronóstico del precio Spot entre enero y julio de 2012; los principales resultados muestran que por medio de esta interconexión, Colombia tendría un impacto importante en la reducción del precio de energía Ocasional de Panamá. Esto es, por un aumento de un 1% en las exportaciones de energía de Colombia el precio spot en panamá se reduciría el 12%.
    Date: 2013–02–10

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