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Climate Control Efficiency

This paper presents an application of Data Envelopment Analysis (DEA) to energy audit data by defining climate control systems as production processes. This method is proposed as an alternative to the use of regression based models which have been used in previous analyses of this type of data. The advantage of this method is the ability to compute relative efficiency measures for each observation in the data and to define these values without the assumption of a particular specification of the technology. Furthermore, this method can be used with a large number of inputs and outputs.

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Energy Specializations: Energy Efficiency; Energy and the Environment – Policy and Regulation

JEL Codes: Q41: Energy: Demand and Supply; Prices, D24: Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity, Q40: Energy: General, D22: Firm Behavior: Empirical Analysis, Q54: Climate; Natural Disasters and Their Management; Global Warming

Keywords: Climate change, Data envelopment analysis (DEA), Efficiency

DOI: 10.5547/ISSN0195-6574-EJ-Vol13-No1-3

Published in Volume 13, Number 1 of the bi-monthly journal of the IAEE's Energy Economics Education Foundation.


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