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