The difference between short-run and long-run flexibility in energy use is an important topic in energy demand modeling. Dynamic formulations are required to reveal this difference. The microeconomic foundation for the distinction between short- and long-run energy substitution possibilities is the embodiment of production techniques.
BerndtE. R.FussM. A.WavermanL. (1980). Dynamic Adjustment Models of Industrial Energy Demand: Empirical Analysis for U.S. Manufacturing 1947-1974. Research Report EA-1613., Electric Power Research Institute.
2.
DargayJ. (1987). The Demand for Energy in Swedish Manufacturing, PhD thesis. Uppsala University.
3.
ForsundF. R.HjalmarssonL. (1983). “Technical Progress and structural change in the Swedish cement industry 1955-1979,” Econometrica51, pp. 1449-67.
4.
ForsundF. R.HjalmarssonL. (1987). Analysis of Industrial Structure. A Putty-Clay Approach. Stockholm: Almqvist & Wiksell International.
5.
ForsundF. R.JansenE. (1983). “Technical Progress and Structural Change in the Norwegian Primary Aluminium Industry,” Scandinavian Journal of Economics85, pp. 113-126.
