The elasticity of substitution between wind and solar inputs and dirty inputs in electricity is estimated to be 3 or more by fitting an aggregate production function to OECD panel data. Such a high elasticity is consistent with detailed electricity models which also predict that the...

Reihe: Industrieökonomik • Band 7 Herausgegeben von Prof. Dr. Frank C. Englmann, Stuttgart, Prof. Dr. Mathias Erlei, Clausthal, Prof. Dr. Ulrich Schwalbe, Hohenheim, und Prof. Dr. Bernd Woeckener, Stuttgart Dr....

When analyzing potential ways to counter climate change, standard models of green growth abstract from investment in substitutability between "clean" and "dirty" energy inputs. Instead, they rely on the assumption that efficiency with respect to fossil fuels can be increased perpetually....