Major OECD country industrial sector interfuel substitution estimates, 1960–1979

Abstract

A range of static and dynamic translog-based expenditure shares models are estimated for non-energy producing industrial sectors of the major seven countries of the OECD area. Sectoral energy volume and fuel efficiency bias variables are shown to be significant over and above individual prices in explaining individual fuel expenditure shares. Statistically significant own-price and cross-price elasticities of demand are presented for individual countries, with some magnitudes varying considerably across alternative model specifications.