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Energy Efficiency and Changes in Energy Demand Behavior

Panel: Human and Social Dimensions of Energy Use: Trends and their Implications

Author:
Marvin Horowitz, Demand Research LLC

Abstract

This paper describes the results of a study that analyzes energy demand behavior in the residential, commercial, and industrial sectors. After defining what is meant by energy demand , this paper describes the research design and findings related to the responsiveness of energy users, in aggregate, to market forces. These responses, expressed statistically as elasticities, are one way of measuring long-term market effects or the degree to which the markets for energy efficiency products and services have been transformed by energy efficiency policies. The evidence presented in this paper shows that energy efficiency policies have had the kinds of lasting effects on energy demand behavior that energy efficiency advocates find desirable.

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