What determines the output drop after an energy price increase
household or firm energy share?
by Rajeev Dhawan
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"During the past thirty-five years, energy use as a fraction of output has dropped significantly at both the household and the firm levels. Therefore, we investigate a dynamic stochastic generalized equilibrium model economy's response to an energy price hike for different firm and household energy shares. Simulation results indicate that the economy's output response is mainly determined by the firm energy share. Increasing the household energy share while keeping firm energy share constant actually decreases the output response"--Federal Reserve Bank of Atlanta web site.
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What determines the output drop after an energy price increase: household or firm energy share?
2007, Federal Reserve Bank of Atlanta
electronic resource :
in English
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Edition Notes
Title from PDF file as viewed on 9/10/2007.
Includes bibliographical references.
Also available in print.
System requirements: Adobe Acrobat Reader.
Mode of access: World Wide Web.
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