Energy Economics
Papers 4525
1 page of 453 pages (4,525 results)
Abstract This paper examines the causal effects of air pollution on the household consumption of water and electricity in Singapore. Using the transboundary haze pollution caused by forest fires in Indonesia as an exogenous shock, we find that increases in haze pollutant intensity in the air significantly increase water and electricity consumption. In particular, the intra-day and inter-day analyses on hourly household water consumption are consistent with the risk avoidance and the risk mitigat...
Abstract Prices of commodities have shown large fluctuations. A high volatility of one commodity today may impact the volatility of another commodity tomorrow. As such, agricultural and energy commodities are closely dependent due to the expansion of the biofuel industry. We study volatility spillovers among a large number of energy, agriculture and biofuel commodities using the vector auto regressive (VAR) model. To account for the possible fat-tailed distribution of the model errors, we propos...
Abstract The recent downward trend in the international energy prices, combined with the rapid transition in the national energy mix and widespread efforts towards national energy market liberalization have challenged the mitigation potential of the global fossil-fuel subsidy reform. In this paper, we focus on 25 countries with large fossil-fuel consumption subsidies and estimate the impacts of fossil-fuel subsidy reform on achieving country-specific emissions reduction targets defined by the Na...
Abstract This paper investigates the response of CO2 emissions to the business cycle for the U.S. on a monthly basis between 1973-2015. Using a rolling-regression approach, we find that the emissions elasticity with respect to GDP is not constant over time, irrespective which filtering method, such as the Hodrick-Prescott, the Baxter-King, the Christiano-Fitzgerald or the Butterworth filter has been employed. In order to check whether or not emissions react differently during normal and recessio...
Abstract This paper analyses the changing impact of oil price shocks on a bouquet of metal and agro prices and their implications for investment decisions, during different oil price regimes, separated by structural breaks. Endogenously identifying the structural breaks, we use network analysis to decipher the nature and extent of such shock transfer across different sub periods. We suggest optimal portfolios based on conditional variance estimates to hedge oil shocks during each period. This is...
Abstract Increasing penetration of zero marginal cost variable renewable technologies cause the decline of wholesale electricity prices due to the merit-order effect. This causes a “cannibalization effect” through which increasing renewable technologies’ penetration undermines their own value. We calculate solar and wind daily unit revenues (generation weighted electricity prices) and value factors (unit revenues divided by average electricity prices) from hourly data of the day-ahead California...
Abstract We investigate investment decisions in electricity generation technologies under uncertainty. The econometric analysis is based on a vast dataset of electricity generation capacities of virtually all European power plants, which we combine with disaggregated measures of investment opportunities and uncertainty. Our approach allows for a disaggregated analysis at the asset level (i.e. different electricity generation technologies) of the firm. Across technologies, we find investment to f...
Abstract The standard cointegration and the persistence of the spread of the Brent-WTI price have been widely analyzed. However, no studies have been able to present evidence of both issues jointly so far. A novel focus is presented in this paper from the application of the fractionally cointegrated vector autoregressive (FCVAR) approach, which allows the rigidity of the standard cointegration to be solved. As result of the application of the FCVAR model, we identify several degrees of globaliza...
Abstract The striking disparities among China’s provinces suggest the need for regionalized carbon emission intensity mitigation measures. This study extends the aggregate embodied energy/emission intensity measures proposed by Su and Ang (2017) to a national multi-region setting, defines the aggregate embodied CO2 emission intensity (AECI) indicators at the aggregate, provincial, and final demand category levels from the demand perspective, and adopts multiplicative structural decomposition ana...
Abstract The literature on renewable energy sources indicates that an increase of the intermittent wind and solar generation affects significantly the distribution of electricity prices. In this article, the influence of two types of renewable energy sources (wind and solar photo voltaic) on the level and variability of German electricity spot prices is analyzed. The quantile regression models are built to estimate the merit order effect for different quantiles of electricity prices. The results...
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Top fields of study
Financial economics
Energy consumption
Volatility (finance)