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| Content Provider | Springer Nature Link |
|---|---|
| Author | Bae, Suho |
| Copyright Year | 2008 |
| Abstract | The price of electricity varies considerably across localities and states. This paper focuses on the geographical differences in electricity prices and the consequences of those differences for business production and location. It accounts for the dynamic nature of business responses to these geographical differences by classifying manufacturing businesses into three groups based on intensity of electricity use and business mobility: (1) heavy users of electricity that are relatively highly mobile; (2) heavy users that are relatively tied to their location; and (3) businesses for which electricity is not a significant cost of production. For empirical analysis, plant- or firm-level data is most desirable, but was not available. As an alternative, the most disaggregate (6-digit NAICS) industry data has been utilized. Findings suggest that heavy users of electricity, regardless of the degree of business mobility, tend to stay in their current location rather than relocate, as they often have a greater technical ability to substitute away from electricity when electricity prices are high. |
| Starting Page | 453 |
| Ending Page | 472 |
| Page Count | 20 |
| File Format | |
| ISSN | 05701864 |
| Journal | The Annals of Regional Science |
| Volume Number | 43 |
| Issue Number | 2 |
| e-ISSN | 14320592 |
| Language | English |
| Publisher | Springer-Verlag |
| Publisher Date | 2008-03-11 |
| Publisher Place | Berlin, Heidelberg |
| Access Restriction | One Nation One Subscription (ONOS) |
| Subject Keyword | Geography (general) Environmental Economics Microeconomics Landscape/Regional and Urban Planning Regional/Spatial Science |
| Content Type | Text |
| Resource Type | Article |
| Subject | Social Sciences Environmental Science |
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