Skip to main content
Log in

Analytical methods for environmental and energy policies

  • Published:
De Economist Aims and scope Submit manuscript

Summary

The article focuses on new techniques for effective decision making in the field of energy use and environmental quality. Special attention is paid to the solution of conflicts between different options for economic development.

A multi-sector model is constructed which links the use of different energy inputs to production and consumption. This model is further extended with a pollution model which describes the waste discharges associated with a given pattern of energy consumption. Next, substitution between various energy alternatives (induced by price changes resulting from scarcity) are analysed.

The conflicts between different options are further analysed by means of learning strategies for conflicting objectives based on the concept of displaced ideals.

Finally, the model is applied to Dutch economic-environmental-energy interactions by means of a structural model describing environmental pollution and energy use in relation to production and employment. Some empirical results concerning price reactions from producers induced by external conditions are presented as well.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Almon, C., M. B. Buckler, L. M. Horwitz and T. C. Reimbold, 1985:Inter-Industry Forecasts of the American Economy, Lexington, Mass., 1974.

  • Ayres, R. U. and A. V. Kneese, ‘Production, Consumption and Externalities,’American Economic Review, LIX (1969), pp. 282–97.

    Google Scholar 

  • Baumol, W. J. and W. E. Oates,The Theory of Environmental Policy, Englewood Cliffs, N.J., 1975.

    Google Scholar 

  • Berndt, E. R. and D. O. Wood, ‘Technology, Prices and the Derived Demand for Energy,’Review of Economics and Statistics, LVII (1975), pp. 259–68.

    Google Scholar 

  • Blair, P.,Multi-Objective Regional Energy Planning, Leiden, 1978.

  • Chatterji, M. and P. van Rompuy (eds.),Energy, Regional Science and Public Policy, Lecture Notes in Economics and Mathematical Systems, CXXVI, Berlin, 1976.

  • Christensen, L. R., D. W. Jorgenson and L. J. Lau, ‘Transcendental Logarithmic Production Frontiers,’Review of Economics and Statistics, LV (1973), pp. 28–46.

    Google Scholar 

  • Cumberland, J. H., ‘Forecasting Alternative Regional Electric Energy Requirements and Environmental Impacts for Maryland, 1970-1990’: Chatterji, M. and P. van Rompuy (eds.), Energy, Regional Science and Public Policy, Berlin, 1976, pp. 32–57.

    Google Scholar 

  • Cumberland, J. H. et al., ‘A Region al. Inter-Industry Model for Analysis of Development Objectives,’Papers of the Regional Science Association, XVII (1966), pp. 65–95.

    Google Scholar 

  • Daly, H. E., ‘On Economics as Life Science,’Journal of Political Economy, LXXVI (1968), pp. 392–406.

    Google Scholar 

  • Dean, R. J. et al.,World Energy Modelling: Concepts and Methods, London, 1973.

  • Debanné, J. G., ‘A Pollution and Technology Sensitive Model for Energy Supply-Distribution Studies,’ in: Searl, M. S. (ed.),Energy Modelling, Washington, D.C., 1973.

  • Delft, A. van and P. Nijkamp,Multi-Criteria Analysis and Regional Decision Making, Leiden, 1977.

  • Diewert, W. E., ‘Applications in Duality Theory,’ in: Intrilligator, M. D. and D. A. Kendrick (eds.),Frontiers of Quantitative Economics, Vol. II, Amsterdam, 1974.

  • Diewert, W. E., ‘Exact and Superlative Index Numbers,’Journal of Econometrics, IV (1976), pp. 115–46.

    Google Scholar 

  • Fandel, G.,Optimale Entscheidung bei mehrfacher Zielsetzung, Berlin, 1972.

  • Fuss, M. A., ‘The Demand for Energy in Canadian Manufacturing,’Journal of Econometrics, V (1977), pp. 86–116.

    Google Scholar 

  • Griffin, J. M., ‘Interfuel-Substitution Possibilities: A Translog Application to Intercountry Data,’ International Economic Review, XVIII (1977), pp. 755–70.

    Google Scholar 

  • Griffin, J. M. and P. A. Gregory, ‘An Intercountry Translog Model of Energy Substitution Responses,’American Economic Review, LXVI (1976), pp. 845–57.

    Google Scholar 

  • Halvorsen, R., ‘Energy Substitution in U.S. Manufacturing,’Review of Economics and Statistics, LIX (1977), pp. 381–8.

    Google Scholar 

  • Hoffman, K. C.,A Unified Planning Framework for Energy System Planning, Brooklyn, 1972.

  • Houthakker, H. and M. Kennedy,Demand for Energy as a Function of Price, Cambridge, 1974a.

  • Houthakker, H. and M. Kennedy,The World Petroleum Model: Overview, Cambridge, 1974b.

  • Hudson, E. A. and D. W. Jorgenson, ‘Tax Policy and Energy Conservation,’ in: Jorgenson, D. W. (ed.),Econometric Studies of U.S. Energy Policy, Amsterdam, 1976.

  • Hulten, C. R., ‘Divisia Index Numbers,’Econometrica, XLI (1973), pp. 1017–26.

    Google Scholar 

  • Isard, W., ‘On the Linkage of Socio-Economic and Ecologic Systems,’Papers of the Regional Science Association, XXI (1968), pp. 79–99.

    Google Scholar 

  • Jorgenson, D. W. (ed.),Econometric Studies of U.S. Energy Policy, Amsterdam, 1976.

  • Leontief, W. W., ‘Introduction in the Theory of the Internal Structure of Functional Relationships,’Econometrica, XV (1947), pp. 361–73.

    Google Scholar 

  • Leontief, W. W.,Studies in the Structure of the American Economy, New York, 1953.

  • Leontief, W. W., ‘Environmental Repercussions and the Economic Structure: An Input-Output Approach,’Review of Economics and Statistics, LII (1970), pp. 262–271.

    Google Scholar 

  • Lesuis, P. J. J. and F. Muller, ‘Perspectives on Short-Term Energy Shortages in The Netherlands,’ in: Chatterji, M. and P. van Rompuy (eds.),Energy, Regional Science and Public Policy, Berlin, 1976, pp. 104–18.

  • MacAvoy, P. W. and R. S. Pindyck,The Economics of the Natural Gas Shortage (1960–1980), Amsterdam, 1975.

  • Muller, F., ‘An Operational Mathematical Programming Model for the Planning of Economic Activities in Relation to the Environment,’Socio-Economic Planning Sciences, VII (1973), pp. 123–38.

    Google Scholar 

  • Muller, F.,Energy and Environment in Interregional Input-Output Models, Boston, 1979.

  • Neu, H., ‘A Dynamic Model for Simulating Fictive Energy Demand and Supply in the European Communities: Scenarios for the Year 2000 and Beyond,’ in:Euratom Report, 1975.

  • Nijkamp, P., Theory and Application of Environmental Economics, Amsterdam, 1977.

  • Odell, P. R. and K. E. Rosing,The North Sea Oil Province: An Attempt to Simulate its Development and Exploration 1969–2029, Rotterdam, 1975.

  • Oshima, K..A Model for Assessing Energy Utilization in the Future, Tokyo, 1974.

  • Pantell, R. H.,Techniques of Environmental Systems Analysis, New York, 1976.

  • Samuelson, P. A., ‘Non-Substitution Theorems,’ in: Stiglitz, I. (ed.),The Collected Scientific Papers of P. A. Samuelson, Vol. 1, Cambridge, 1966, pp. 513–36.

  • Schweizer, P. G., et al.,A Regional Energy Model for Examining New Policy and Technology Changes, Pittsburgh, 1974.

  • Smith, V. L. (ed.),Economics of Natural and Environmental Resources, New York, 1977.

  • Tintner, G.,A Study of the Consequences of a Possible Energy Crisis in Austria, Vienna, 1971.

  • Uzawa, H., ‘Production Functions with Constant Elasticities of Substitution,’Review of Economic Studies, XXIX (1962), pp. 291–9.

    Google Scholar 

  • WAES,Energy: Global Prospects 1985–2000, New York, 1977.

  • Zeleny, M. (ed.), ‘The Theory of Displaced Ideal,’ in:Multiple Criteria Decision Making, Berlin, 1976.

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

About this article

Cite this article

Lesuis, P.J.J., Muller, F. & Nijkamp, P. Analytical methods for environmental and energy policies. De Economist 127, 513–538 (1979). https://doi.org/10.1007/BF02371699

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF02371699

Keywords

Navigation