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The Short-Run Residential Demand for Natural Gas

Roberta Barnes, Robert Gillingham, Robert Hagemann

Year: 1982
Volume: Volume 3
Number: Number 1
DOI: 10.5547/ISSN0195-6574-EJ-Vol3-No1-3
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Abstract:
Effective and efficient energy conservation policy requires accurate and comprehensive estimates of residential energy demand pa-rameters. These parameter estimates are among the most important inputs into informed policy decisions. In turn, accurate estimation of energy demand parameters requires realistic modeling of the consumer's demand behavior, detailed information on energy consumption, and careful treatment of any econometric problems created by the model and data base.



The Demand for Natural Gas: A Survey of Price and Income Elasticities

Mohammed A. Al-Sahlawi

Year: 1989
Volume: Volume 10
Number: Number 1
DOI: 10.5547/ISSN0195-6574-EJ-Vol10-No1-7
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Abstract:
My purpose has been to survey and review price and income elas-ticities of the demand for natural gas. The surveyed studies are classified by demand type, where the functional forms, estimation techniques, data types, estimated periods and concerned countries or regions are indicated. Studies have demonstrated that there is variation in price and income elasticity estimates. These discrepancies are due to differing estimated periods, various data sources, structural changes, geographical differentials, and the distinction between different demand types. In the short run, it appears that industrial demand and residential-commercial demand are inelastic with respect to price and income. Industrial demand is more responsive to income than residential-comercial demand in the short run as well as in the long run. This might be caused by the differences between natural gas end uses.



Natural Gas Demand in the European Household Sector

Frank Asche, Odd Bjarte Nilsen and Ragnar Tveteras

Year: 2008
Volume: Volume 29
Number: Number 3
DOI: 10.5547/ISSN0195-6574-EJ-Vol29-No3-2
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Abstract:
This paper analyzes the residential natural gas demand in 12 European countries using a dynamic demand model, which allows for country-specific short- and long-run elasticity estimates. The own-price and income elasticities tend to be very inelastic in the short run, albeit with much greater responsiveness in the longer run. Our results support very limited technological substitution possibilities between different energy carriers in the short run. Furthermore, the results suggested structural differences of residential natural gas demand across European countries and provide support for employing a heterogeneous estimator such as the shrinkage estimator.





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