EconPapers    
Economics at your fingertips  
 

Energy biased technology change: Focused on Chinese energy-intensive industries

Donglan Zha, Anil Kavuri () and Songjian Si

Applied Energy, 2017, vol. 190, issue C, 1089 pages

Abstract: Technical change bias has predominately been measured through two-factor models. Resulting from the rising importance of energy we devised a framework to estimate technical change bias for three input factors. The framework involves an estimation of elasticity and technical change parameters for a constant elasticity of substitution function with capital, labour and energy, which is derived from the elasticities and marginal output. We apply the framework to investigate eleven Chinese energy-intensive industries. The optimal nested structure for eight of the industries is for capital and energy to be combined first at the composite level and then with labour to form total output. Between 1990 and 2012, six of the industries were energy biased, three were towards capital, one towards labour and one mixed. The results show that recent Chinese energy intensity reduction programs are not sufficient to induce energy efficient development. The policy recommendations target specifically the energy biased industries to achieve desired energy savings in the future.

Keywords: Energy biased technology; Energy-intensive industries; Elasticity of substitution (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0306261916315860
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:appene:v:190:y:2017:i:c:p:1081-1089

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/bibliographic
http://www.elsevier. ... 405891/bibliographic

DOI: 10.1016/j.apenergy.2016.11.001

Access Statistics for this article

Applied Energy is currently edited by J. Yan

More articles in Applied Energy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2025-03-19
Handle: RePEc:eee:appene:v:190:y:2017:i:c:p:1081-1089