Energy and Carbon Dynamics at Advanced Stages of Development: An Analysis of the U.S. States, 1960-1999

Joseph E. Aldy

The Energy Journal, 2007, vol. 28, issue 1, 91-112

Abstract: This paper explores the relationships among per capita income, energy consumption, and carbon dioxide (CO2) emissions by focusing on a set of economies at advanced stages of development, the U.S. states. Energy consumption and emissions grew 50-60percent on average over the 1960-1999 period. The states’ per capita energy consumption and emissions have grown on average 2 percent annually. The energy consumption income elasticity is positive but decreasing in income, although energy production takes an inverted- U shape, reflecting the electricity imports among high income states. The standard CO2 measure, corresponding to energy production, is characterized by an inverted-U environmental Kuznets curve. Adjusting emissions for interstate electricity trade yields an emissions-income relationship that peaks and plateaus. The carbon intensity of energy declines with income for total energy consumption and the industrial, residential, and commercial sectors.

Keywords: CO2 emissions; Engle curve; Kuznets curve; cubic spline; Kaya identity; US (search for similar items in EconPapers)
Date: 2007
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Persistent link: https://EconPapers.repec.org/RePEc:sae:enejou:v:28:y:2007:i:1:p:91-112

DOI: 10.5547/ISSN0195-6574-EJ-Vol28-No1-5

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