Berndt, E: Modelling the Aggregate Demand for Electricity. This item is unavailable.Berndt, E: Modelling the Aggregate Demand for Electricity

This book provides an insightful analysis of the factors influencing the demand for electricity. The author presents a comprehensive model that incorporates both the marginal and average intramarginal prices, highlighting their significance in determining consumption patterns. Through a combination of analytical and empirical approaches, the book demonstrates that the omission of the average intramarginal price variable in demand equations leads to negligible quantitative impacts on elasticity estimates, dispelling a commonly held misconception. The author also examines the consequences of misspecification on other coefficients, concluding that biases are typically small and of little practical significance. The book contributes to the ongoing debate on electricity demand modeling and offers valuable insights for researchers and policymakers seeking to understand and predict electricity consumption.

David M. Cutler is a professor of economics at Harvard University, a research associate of the National Bureau of Economic Research, and the editor of "The Changing Hospital Industry," published by the University of Chicago Press.
Ernst R. Berndt is a professor of applied economics at MIT's Sloan School of Management, director of the NBER's Program on Technological Progress and Productivity Measurement, and coeditor of "Fifty Years of Economic Measurement," published by the University of Chicago Press.