Cuddington, John and Dagher, Leila (2013): Estimating Short and LongRun Demand Elasticities: A Primer with EnergySector Applications. Published in: Energy Journal , Vol. 36, (2014): pp. 185209.

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Abstract
Many empirical exercises estimating demand functions, whether in energy economics or other fields, are concerned with estimating dynamic effects of price and income changes over time. This paper first reviews a number of commonly used dynamic demand specifications to highlight the implausible a priori restrictions that they place on short and longrun elasticities. Such problems are easily avoided by adopting a generaltospecific modeling methodology. Second, it discusses functional forms and estimation issues for getting point estimates and associated standard errors for both short and longrun elasticities – key information that is missing from many published studies. Third, our proposed approach is illustrated using a dataset on Minnesota residential electricity demand.
Item Type:  MPRA Paper 

Original Title:  Estimating Short and LongRun Demand Elasticities: A Primer with EnergySector Applications 
Language:  English 
Keywords:  SR elasticity; LR elasticity; demand function; ADL 
Subjects:  C  Mathematical and Quantitative Methods > C1  Econometric and Statistical Methods and Methodology: General > C13  Estimation: General C  Mathematical and Quantitative Methods > C5  Econometric Modeling > C51  Model Construction and Estimation Q  Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q4  Energy > Q41  Demand and Supply ; Prices 
Item ID:  116122 
Depositing User:  Dr Leila Dagher 
Date Deposited:  25 Jan 2023 14:27 
Last Modified:  25 Jan 2023 14:27 
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URI:  https://mpra.ub.unimuenchen.de/id/eprint/116122 