Arbeitspapier

Directed Technological Change and Energy Efficiency Improvements

This paper applies the Directed Technical Change (DTC) framework to study improvements in the efficiency of energy use. We present a theoretical model which (1) shows that the demand for energy is shifted down by innovations in energy intensive sectors and (2) highlights the drivers of innovative activity in these sectors. We then estimate the model through an empirical analysis of patent and energy data. Our contribution is fivefold. First, our model shows that under very general assumptions information about energy expenditures, knowledge spillovers and the parameters governing the R&D process are sufficient to predict the R&D effort in efficiency improving technologies. Second, we pin down the conditions for a log-linear relation between energy expenditure and the R&D effort. Third, the calibration of the model provides clear evidence that the value of the energy market as well as international and inter-temporal spillovers play a significant role in determining the level of innovative activity. Fourth, we show that innovative activity in energy intensive sectors shifts down the (Marshallian) demand for energy. Finally, we show that due to the streamlined modelling framework we adopt, the point estimates from our regression can potentially be used to calibrate any model of DTC in the context of energy consumption.

Sprache
Englisch

Erschienen in
Series: Nota di Lavoro ; No. 78.2015

Klassifikation
Wirtschaft
Innovation and Invention: Processes and Incentives
Technological Change: Choices and Consequences; Diffusion Processes
Energy and the Macroeconomy
Thema
Energy Efficiency
Directed Technological Change
Induced Innovations
Patents Econometrics

Ereignis
Geistige Schöpfung
(wer)
Witajewski-Baltvilks, Jan
Verdolini, Elena
Tavoni, Massimo
Ereignis
Veröffentlichung
(wer)
Fondazione Eni Enrico Mattei (FEEM)
(wo)
Milano
(wann)
2015

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Witajewski-Baltvilks, Jan
  • Verdolini, Elena
  • Tavoni, Massimo
  • Fondazione Eni Enrico Mattei (FEEM)

Entstanden

  • 2015

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