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Research Reports The Demand for Natural Gas: A Survey of Price and Income Elasticities

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  • Mohammed A. Al-Sahlawi
Abstract
My purpose has been to survey and review price and income elasticities of the demand for natural gas. The surveyed studies are classified by demand type, where the functional forms, estimation techniques, data types, estimated periods and concerned countries or regions are indicated. Studies have demonstrated that there is variation in price and income elasticity estimates. These discrepancies are due to differing estimated periods, various data sources, structural changes, geographical differentials, and the distinction between different demand types. In the short run, it appears that industrial demand and residential- commercial demand are inelastic with respect to price and income. Industrial demand is more responsive to income than residential-comercial demand in the short run as well as in the long run. This might be caused by the differences between natural gas end uses.

Suggested Citation

  • Mohammed A. Al-Sahlawi, 1989. "Research Reports The Demand for Natural Gas: A Survey of Price and Income Elasticities," The Energy Journal, , vol. 10(1), pages 77-90, January.
    • Handle: RePEc:sae:enejou:v:10:y:1989:i:1:p:77-90
    DOI: 10.5547/ISSN0195-6574-EJ-Vol10-No1-7
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    References listed on IDEAS

    as
    1. Kouris, George, 1981. "Elasticities - science or fiction?," Energy Economics, Elsevier, vol. 3(2), pages 66-70, April.
    2. Roberta Barnes & Robert Gillingham & Robert Hagemann, 1982. "The Short-Run Residential Demand for Natural Gas," The Energy Journal, , vol. 3(1), pages 59-72, January.
    3. Robert S. Pindyck, 1979. "The Structure of World Energy Demand," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262661772, December.
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    Cited by:

    1. Michał Rubaszek & Karol Szafranek, 2025. "The European energy crisis and the US natural gas market dynamics: a structural VAR investigation," International Economics and Economic Policy, Springer, vol. 22(1), pages 1-22, February.

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