Industry-mix effects at different levels of sectoral disaggregation: a decomposition of inter-country differences in energy costs

This article develops a decomposition of inter-country differences of unit energy costs (UEC) of the manufacturing sector. UEC are decomposed into a structural (industry-mix) component and an autonomous component that captures all other effects like, e.g., differences in energy efficiency and energy...

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Veröffentlicht in:Empirica 2023-11, Vol.50 (4), p.883-897
Hauptverfasser: Koller, Wolfgang, Eder, Andreas, Mahlberg, Bernhard
Format: Artikel
Sprache:eng
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Zusammenfassung:This article develops a decomposition of inter-country differences of unit energy costs (UEC) of the manufacturing sector. UEC are decomposed into a structural (industry-mix) component and an autonomous component that captures all other effects like, e.g., differences in energy efficiency and energy prices. Based on NACE 3-digit level data from Eurostat’s Structural Business Statistics the industry-mix component can be quantified on different levels of sectoral disaggregation. The results show that not only industry-mix effects on the conventional (typically NACE 2-digit) but also those measurable at higher levels of disaggregation are relevant for comparison of energy costs across countries.
ISSN:0340-8744
1573-6911
DOI:10.1007/s10663-023-09593-w