Abstract

This paper examines the effects of structural change and improvements in energy intensities of individual industries in aggregate industry energy intensity changes in China during 1980-88. The Divisia index is used to decompose the energy intensity effect and structural effect. A major finding of this analysis is that the main contribution to changed aggregate energy intensity was from the changes in energy intensities of individual industries during the period. Structural effects were found to contribute little to the aggregate energy intensity changes.

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