Template-Type: ReDIF-Paper 1.0
Series: Tinbergen Institute Discussion Papers
Creation-Date: 2004-01-13
Number: 04-005/3
Author-Name: Peter Mulder
Author-Email: mulder@iiasa.ac.at
Author-Workplace-Name: International Institute for Applied Systems Analysis, Laxenburg, Austria
Author-Name: Henri L.F. de Groot
Author-Email: hgroot@feweb.vu.nl
Author-Workplace-Name: Faculty of Economics and Business Administration, Vrije Universiteit Amsterdam
Title: Decoupling Economic Growth and Energy Use. An Empirical Cross-Country Analysis for 10 Manufacturing Sectors
Abstract: This paper provides an empirical analysis of decoupling economic growth and energy use and its various determinants by exploring trends in energy- and labour productivity across 10 manufacturing sectors and 14 OECD countries for the period 1970-1997. We explicitly aim to trace back aggregate developments in the manufacturing sector to developments at the level of individual subsectors. A cross-country decomposition analysis reveals that in some countries structural changes contributed considerably to aggregate manufacturing energy-productivity growth and, hence, to decoupling, while in other countries they partly offset energy-efficiency improvements. In contrast, structural changes only play a minor role in explaining aggregate manufacturing labour-productivity developments. Furthermore, we find labour-productivity growth to be higher on average than energy-productivity growth. Over time, this bias towards labour-productivity growth is increasing in the aggregate manufacturing sector, while it is decreasing in most manufacturing subsectors.
Classification-JEL: O13; O47; O5; Q43
Keywords: energy productivity; labour productivity; convergence; sectoral analysis
File-Url: https://papers.tinbergen.nl/04005.pdf
File-Format: application/pdf
File-Size: 420483 bytes
Handle: RePEc:tin:wpaper:20040005