Q2. What is the effect of energy efficiency on the economy?
it is noted that when the inter-fuel substitution is limited, improving the efficiency of using electricity can probably increase the demand of other types of energy, such as crude oil and gas, petroleum and gas supply.
Q3. What is the policy choice for improving energy efficiency?
In their study, improving energy efficiency of using electricity seems the best policy choice as it does not only generate higher GDP relative to the baseline but also incurs lower economy-wide rebound (or even negative rebound).
Q4. What is the effect of rebound on secondary energy?
Then the economic expansion (the third channel of rebound effect) will further increase the demand of secondary energy goods, which further requires more primary energy inputs as the second round increase of primary energy demand.
Q5. What is the effect of the rebound effect on the electricity price?
In the long run, however, the capital will flow to other sectors so that the rate of investment return will go back to the normal level, and raise the electricity price by about 6-9 percentage points compared to the short run.
Q6. What is the reason why China’s energy efficiency is increasing?
Most sectors’ outputs expand due to improved energy efficiency, but energy sectors andtheir upstream sectors are major “losers” in terms of output.
Q7. What are the main reasons why China has a large rebound effect?
Primary energy goods (coal, crude oil and gas) show larger rebound effect than secondary energy goods (refined petroleum, electricity and gas supply).
Q8. What is the effect of rebound on primary energy?
the authors can find that for primary energy, such as coal, crude oil and gas, the long-run total rebound is often larger than the short-run rebound; but the effect just reverses for the secondary energy like electricity & steam supply, gas supply and refined petroleum.
Q9. What is the importance of rebound effect in China?
As Van den Bergh (2011) argued, rebound effect is important for China and energy efficiency policies need to be carefully designed to balance the extent of rebound and the macroeconomic impact.
Q10. What is the effect of rebound on energy consumption in China?
considering the small proportion of gas use in China’s total energy consumption, the big rebound effect from gas supply may not have significant impact in terms of absolute total amount.
Q11. What is the effect of energy efficiency policy on the economy?
The authors note that the short-run rebound is larger than the long-run rebound and the energy efficiency policy has a larger GDP impact in the long run than that in the short run.
Q12. What is the effect of the rebound effect on the electricity supply?
This will lower the electricity consumption compared to the short-run scenario, which makes the long-run rebound smaller than the short-run rebound.
Q13. What is the effect of energy efficiency on the economy of China?
This paper explores economy-wide rebound effect of China in three dimensions based on a China CGE model: (1) different energy types, including coal, crude oil and gas, refined petroleum, electricity & steam supply and gas supply, (2) long-run versus short-run closure, and (3) inter-fuel substitutability.
Q14. What is the effect of energy efficiency on GDP?
Their results show that improving energy efficiency of using any of the five energy goods will raise GDP, of which increasing energy efficiency of using electricity has the largest positive impact on GDP.
Q15. What is the largest rebound effect of all the five energy types?
gas supply shows the largest rebound of all the five energy types although it only accounts for a small proportion in China’s energy consumption.
Q16. What is the effect of rebound on the production side?
According to equation (8), this negative rebound effect is mainly from the production side (RP) while the final consumption shows positive rebound although not big enough to offset the strong energy-saving effect in the production system.
Q17. What is the effect of rebound on energy efficiency?
In terms of rebound effect, there exists no “backfire” effect; however, there is even negative rebound for improving efficiency of using electricity.
Q18. What is the difference between the scenario with and without inter-fuel substitutability?
The dramatic difference between the scenario with inter-fuel substitutability and without inter-fuel substitutability implies that the elasticity of substitution between gas supply and other energy inputs is a crucial factor for its rebound effect.