Doctor of Philosophy, The Ohio State University, 2012, Agricultural, Environmental and Developmental Economics
The first part of the dissertation entitled “Energy Intensity in Japan”, discusses the causes of the increase in Japan's energy intensity, defined as energy consumption divided by GDP since the early 1990's. The significant reduction in Japan's energy intensity ceased in the early 1980's and has even slightly increased since the early 1990's, indicating that Japan seemingly has reached the limits of its ability to improve energy use. However, further analysis at prefecture level and sector level provides additional insight on energy intensity trends. Our result indicates that the non-uniform energy intensity trends between prefectures are attributed to a high variability in energy efficiency. At sector level, we estimate the income elasticity of energy consumption in each sector and find that a structural change in energy consumption behaviors occurred in all sectors at different time points. More importantly, the structural changes occurred in 1981 in the industrial sector and in 1988 in the commercial sector are presumably responsible for the deterioration of Japan's energy intensity since the early 1990's.
The second part of the dissertation, entitled “The Demand for Residential Electricity”, estimates the residential electricity price elasticity in Japan. The Japanese government has not imposed a residential electricity tax because the price elasticity of electricity consumption has been considered to be very low. However, there has been little study to provide empirical evidence for the consensus. This paper is intended to fill the gap by estimating the residential electricity price elasticity in Japan. In order to avoid dynamic panel bias, we use the Arellano-Bond estimator to estimate the residential electricity price elasticity. The results show that the estimated price elasticities of residential electricity consumption are -0.1963 in the short run and -0.2298 in the long run at national level. These estimates predict that contrary to the consensus, an inc (open full item for complete abstract)
Committee: Timothy Haab (Advisor); Brent Sohngen (Committee Member); Eugene Jones (Committee Member)
Subjects: Economics; Energy; Environmental Economics; Environmental Law; Public Policy; Statistics