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Manufacturing Energy Use in Eight OECD Countries: Trends through 1988

Abstract:
This paper reviews the evolution of manufacturing energy use in eight industrialized nations: West Germany, Denmark, France, Japan, Norway, Sweden, the United Kingdom, and the United States. Manufacturing energy use fell in these nations by 16% between 1973 and 1988 while manufacturing value-added increased by 41%. Reduced energy intensities in six industry groups -- paper and pulp; chemicals; stone, clay and glass; iron and steel; nonferrous metals; and other manufacturing -- were the primary source of this apparent decoupling of energy use and output. Between 1973 and 1988, intensity reductions would have driven down sectoral energy use by 32% if the level and composition of output had remained constant. Structural change, or shifts in the product mi, would have reduced energy use by 11% if the total level of output and the energy intensities of each industry group had remained constant.

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Energy Specializations: Energy Modeling – Sectoral Energy Demand & Technology; Energy Modeling – Other

JEL Codes:
Q55 - Environmental Economics: Technological Innovation
C59 - Econometric Modeling: Other

Keywords: Manufacturing energy use, OECD, Energy intensity, Interfuel substitution

DOI: 10.5547/ISSN0195-6574-EJ-Vol12-No4-2


Published in Volume 12, Number 4 of The Quarterly Journal of the IAEE's Energy Economics Education Foundation.