Estimation of Elasticity Price of Electricity with Incomplete Information
- Labandeira Villot, Xavier
- Labeaga Azcona, José María
- López Otero, Xiral
ISSN: 1696-7496
Ano de publicación: 2009
Número: 18
Páxinas: 1-21
Tipo: Documento de traballo
Outras publicacións en: Documentos de trabajo ( FEDEA )
Resumo
The sharp increase in energy prices and the growing concern for environmental issues, among other things, are behind the renewed interest in energy demand estimation. However, there is very little academic literature that takes account of the usual situation of energy suppliers: high quality but incomplete data. In this paper, we propose a useful and rather simple instrument for estimating electricity demand with incomplete or/and imperfect data available to suppliers. In particular, using real data of expenditure and consumption of electricity, we employ a model of random effects for panel data in order to estimate residential and industrial electricity demand in Spain.