Upward Sloping Demand for a Normal Good?  Residential Electricity in Arkansas

Thomas M. FULLERTON; İleana M. RESENDEZ; Adam G. WALKE

Makale detayları

Upward Sloping Demand for a Normal Good? Residential Electricity in Arkansas

Yazarlar:

Thomas M. FULLERTON | İleana M. RESENDEZ | Adam G. WALKE

Yayıncı:

İlhan ÖZTÜRK

Dergi:

International Journal of Energy Economics and Policy 2015 Vol.5 Issue 4, pp.1065-1072

Belge Tipi:

Makale

Yayın Tarihi:

11/2015

Belge Dili:

Türkçe

Document ID (Org No.):

2000816429

Sıklık:

İki Aylık

eISSN:

2146-4553

Özet:

 

This study analyzes residential electricity demand in the state of Arkansas using an error-correction approach that examines both long-run and short-run dynamics. As in prior studies, results indicate that higher electricity prices reduce consumption in the long-run, but not in the short-run. With respect to variations in household income, residential electricity is treated as a normal good.  The long-run income elasticity estimate is about twice as large as the short-run estimate. It is suggested that the muted short-run responses to price and income variables may reflect limited capacity to adjust the stock of electricity-consuming household devices over the short-term.  More surprisingly, households are found to treat electricity as a normal good in the short-run, but have an upward sloping demand curve associated with it. The overall results suggest that increasing generating capacity in Arkansas will be feasible using the standard approach of incremental rate increases.

Makale detayları

Upward Sloping Demand for a Normal Good? Residential Electricity in Arkansas

Yazarlar: Thomas M. FULLERTON | İleana M. RESENDEZ | Adam G. WALKE

Yayıncı: İlhan ÖZTÜRK

Dergi: International Journal of Energy Economics and Policy 2015 Vol.5 Issue 4, pp.1065-1072

Belge Tipi: Makale

Yayın Tarihi: 11/2015

Belge Dili: Türkçe

Document ID (Org No.): 2000816429

Sıklık: İki Aylık

eISSN: 2146-4553

Sayı

Yazarlar:

Thomas M. FULLERTON | İleana M. RESENDEZ | Adam G. WALKE

Yayıncı:

İlhan ÖZTÜRK

Dergi:

International Journal of Energy Economics and Policy 2015 Vol.5 Issue 4, pp.1065-1072

Belge Tipi:

Makale

Yayın Tarihi:

11/2015

Belge Dili:

Türkçe

Document ID (Org No.):

2000816429

Sıklık:

İki Aylık

eISSN:

2146-4553