Economics at your fingertips  

Technology invention and adoption in residential energy consumption

Giovanni Marin () and Alessandro Palma ()

Energy Economics, 2017, vol. 66, issue C, 85-98

Abstract: In this paper we analyse the electricity consumption of a set of four traditional ‘white goods’ in a panel of ten EU countries observed over the period 1995–2013 with the aim of disentangling the amount of technical efficiency from overall energy saving using a stochastic frontier approach. The efficiency trend is modelled as a function of energy efficiency policies and innovation dynamics that combines invention and adoption processes using specific patents weighted by granular production data and worldwide bilateral import flows. Our model also accounts for potential endogeneity arising when innovation processes and economic growth are considered. With this replicable approach, the stochastic frontier framework allows for explicit modelling of innovation processes. Our results show that the efficiency component is related to changes in the energy efficient technological content of appliances. The ‘international’ component represents a predominant share of technological advancement and exerts a significant influence on the transient efficiency. Our evidence calls for an active role to be played by policy makers in focusing on innovation and trade policies in order to achieve more ambitious energy efficiency targets.

Keywords: Energy efficiency; Energy policies; Technological adoption; Electrical appliances; Stochastic frontier analysis; Residential sector (search for similar items in EconPapers)
JEL-codes: C23 C26 O33 Q55 Q41 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
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:

Access Statistics for this article

Energy Economics is currently edited by R. S. J. Tol, Beng Ang, Lance Bachmeier, Perry Sadorsky, Ugur Soytas and J. P. Weyant

More articles in Energy Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2019-07-30
Handle: RePEc:eee:eneeco:v:66:y:2017:i:c:p:85-98