Micro Engineering Foundations of Energy-Capital Complementarity: Solar Domestic Water Heaters
The Review of Economics and Statistics
1984
This paper presents microeconomic estimates of substitution possibilities between capital-intensive, solar-produced energy and conventional, nonrenewable energy sources, while examining the conditions under which recently enacted tax incentives designed to accelerate solar's market penetration could result in an increase, rather than a reduction, in the consumption of nonrenewable energy sources. The empirical results imply that such counter-productive outcomes are possible, given long-run elasticities of demand for energy services around - 1.5.
- DOI
- 10.2307/1925838
- Volume
- 66 (2)
- Pages
- 334
- Export
- BibTeX
- Sources
- openalex crossref