ENERGY AND GDP

Abstract

Understanding of the role of energy use at the national level requires the understanding of the relationship of energy use to economic activity and social well-being. Gross domestic product (GDP) measures the value of goods and services produced in a country in one year. There is a close relationship between energy supply, energy consumption, and GDP, which indicates the economic development of a country. The living standard of a country is often measured by the per capita GDP. This article presents the evaluations and future projections of energy and energy resources of the Organization for Economic Cooperation and Development (OECD). The total primary energy supply, total final energy consumption, and energy intensities for supply and consumption are analysed. The energy data for all OECD countries are presented and analyses of the differences in energy and GDP ratios are conducted at an aggregate level by examining differences in the factors that affect the energy intensities. To provide accurate projections for the future, new correlations are developed between average GDP, total primary energy supply, total final consumption, total per capita primary energy supply, total per capita final consumption and total OECD population. © 1997 by John Wiley & Sons, Ltd.