International Journal of Management and Economics

authors
Vikas Kumar

abstract
Energy-intensive sectors (EISs) are responsible for a large share of global greenhouse gas emissions. Energy-intensive sectors included in this paper are Mining and Quarrying; Coke, Refined Petroleum, and Nuclear Fuel; Other Non-Metallic Minerals; Basic Metals and Fabricated Metal; Electricity, Gas, and Water Supply. The focus of the paper is on an econometric estimation of energy efficiency using some econometric approach. we seek to do cross-country comparisons, we include six industrialized and less environment-friendly nations (US, Japan, Russia, China, France, and India) in our paper. Our specification includes one desirable output, the gross output of industry, and one undesirable output, air emissions. Three major production factors included as inputs are: labor, capital, and energy use. Panel dataset of six countries over the period 1995 to 2009 is collected for our analysis. Our study has used Data Envelopment Analysis (DEA), a non-parametric approach (deterministic). Non-parametric Data Envelopment Analysis (DEA) is used to construct the efficient frontier and thereby compute total factor environment-adjusted energy efficiency instead of just a partial measure of efficiency. As per the expectations, it is found that output is positively related to emissions as emissions are also generated in the process of energy use in production.