Skip to main content
Journal cover image

The induced innovation hypothesis and energy-saving technological change

Publication ,  Journal Article
Newell, RG; Jaffe, AB; Stavins, RN
Published in: Quarterly Journal of Economics
January 1, 1999

We develop a methodology for testing Hicks's induced innovation hypothesis by estimating a product-characteristics model of energy-using consumer durables, augmenting the hypothesis to allow for the influence of government regulations. For the products we explored, the evidence suggests that (i) the rate of overall innovation was independent of energy prices and regulations; (ii) the direction of innovation was responsive to energy price changes for some products but not for others; (iii) energy price changes induced changes in the subset of technically feasible models that were offered for sale; (iv) this responsiveness increased substantially during the period after energy-efficiency product labeling was required; and (v) nonetheless, a sizable portion of efficiency improvements were autonomous.

Duke Scholars

Altmetric Attention Stats
Dimensions Citation Stats

Published In

Quarterly Journal of Economics

DOI

ISSN

0033-5533

Publication Date

January 1, 1999

Volume

114

Issue

3

Start / End Page

941 / 975

Related Subject Headings

  • Economics
  • 3803 Economic theory
  • 3802 Econometrics
  • 3801 Applied economics
  • 14 Economics
 

Citation

APA
Chicago
ICMJE
MLA
NLM
Newell, R. G., Jaffe, A. B., & Stavins, R. N. (1999). The induced innovation hypothesis and energy-saving technological change. Quarterly Journal of Economics, 114(3), 941–975. https://doi.org/10.1162/003355399556188
Newell, R. G., A. B. Jaffe, and R. N. Stavins. “The induced innovation hypothesis and energy-saving technological change.” Quarterly Journal of Economics 114, no. 3 (January 1, 1999): 941–75. https://doi.org/10.1162/003355399556188.
Newell RG, Jaffe AB, Stavins RN. The induced innovation hypothesis and energy-saving technological change. Quarterly Journal of Economics. 1999 Jan 1;114(3):941–75.
Newell, R. G., et al. “The induced innovation hypothesis and energy-saving technological change.” Quarterly Journal of Economics, vol. 114, no. 3, Jan. 1999, pp. 941–75. Scopus, doi:10.1162/003355399556188.
Newell RG, Jaffe AB, Stavins RN. The induced innovation hypothesis and energy-saving technological change. Quarterly Journal of Economics. 1999 Jan 1;114(3):941–975.
Journal cover image

Published In

Quarterly Journal of Economics

DOI

ISSN

0033-5533

Publication Date

January 1, 1999

Volume

114

Issue

3

Start / End Page

941 / 975

Related Subject Headings

  • Economics
  • 3803 Economic theory
  • 3802 Econometrics
  • 3801 Applied economics
  • 14 Economics