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:: Volume 14, Issue 55 (Winter 1396 2018) ::
QEER 2018, 14(55): 39-68 Back to browse issues page
The review of substitution between energy and labor in industry sector of Iran (with emphasis on environmental policy)
Elmira Zohoorian , Mohammad Reza Lotfalipour Professor 1, Mohammad Ali Falahi Professor2
1- Ph.D Ferdowsi university of Mashhad , Lotfalipour@um.ac.ir
2- Ph.D Ferdowsi university of Mashhad
Abstract:   (177 Views)

In this study, according to destructive effects of energy consumption on the environment quality and its limits in Iran, substitution the labor instead of energy and its impact on the economy was investigated. estimation the elasticity of substitution between labor and energy for industry sector of Iran by using the CES production function and periodic observation (1980-2013) was performed.The result suggests that the amount of substitution elasticity is 0.48 percent.The other results of estimations show that by increasing the price of energy as an environmental policy reduced its consumption and on the other hand, because of the substitution between energy and labor increasing the labor demand can be seen. Increasing the energy price as an environmental policy can have two positive effects on the economy; on the one hand, occurs reducing the energy consumption and improvement of the environment and on the other hand by substitution the labor instead of energy the labor demand and employment increases.

Keywords: Energy price, Labor demand, CES Production Function, Environment, Environmental policy
Full-Text [PDF 378 kb]   (82 Downloads)    
Type of Study: Thesis(M.A.) | Subject: Energy Economic
Received: 2017/04/7 | Accepted: 2017/12/24 | Published: 2018/03/19
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Zohoorian E, Lotfalipour M R, Falahi M A. The review of substitution between energy and labor in industry sector of Iran (with emphasis on environmental policy). QEER. 2018; 14 (55) :39-68
URL: http://iiesj.ir/article-1-839-en.html


Volume 14, Issue 55 (Winter 1396 2018) Back to browse issues page
فصلنامه مطالعات اقتصاد انرژی Quarterly Energy Economics Review
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