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Interfuel substitution possibilities: short-term prospects

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  • Uri, Noel D.

Abstract

This paper applies a translog price possibility frontier in order to measure the extent of interfuel substitution effects in the electric power industry in the United States. The results suggest that relative changes in fuel prices have significant effects on fossil fuel consumption. This, in turn, has important implications for public policy. In particular, the market system appears better able to deal with exogenous shifts in energy supplies than has frequently been assumed in the formulation of public policies with respect to the energy crisis.

Suggested Citation

  • Uri, Noel D., 1978. "Interfuel substitution possibilities: short-term prospects," Applied Energy, Elsevier, vol. 4(4), pages 251-260, October.
    • Handle: RePEc:eee:appene:v:4:y:1978:i:4:p:251-260
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    Cited by:

    1. Zhang, Yi & Ji, Qiang & Fan, Ying, 2018. "The price and income elasticity of China's natural gas demand: A multi-sectoral perspective," Energy Policy, Elsevier, vol. 113(C), pages 332-341.
    2. Gao, Jing & Nelson, Robert & Zhang, Lei, 2013. "Substitution in the electric power industry: An interregional comparison in the eastern US," Energy Economics, Elsevier, vol. 40(C), pages 316-325.
    3. Andersen, Trude Berg & Nilsen, Odd Bjarte & Tveteras, Ragnar, 2011. "How is demand for natural gas determined across European industrial sectors?," Energy Policy, Elsevier, vol. 39(9), pages 5499-5508, September.
    4. Soderholm, Patrik, 2001. "Fossil fuel flexibility in west European power generation and the impact of system load factors," Energy Economics, Elsevier, vol. 23(1), pages 77-97, January.
    5. Pettersson, Fredrik & Söderholm, Patrik & Lundmark, Robert, 2012. "Fuel switching and climate and energy policies in the European power generation sector: A generalized Leontief model," Energy Economics, Elsevier, vol. 34(4), pages 1064-1073.
    6. Ahmed, Ather Maqsood & Kemal, M. Ali, 2001. "Energy demand in Pakistan and the possibility of inter fuel substitution," MPRA Paper 50257, University Library of Munich, Germany, revised Mar 2001.

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