Comparison of the generalized Box-Cox and Fourier functional forms: an application to the North Carolina residential time-of-use electricity pricing experiment

Thesis/Dissertation · Thu Jan 01 04:00:00 EST 1981

OSTI ID:6587881

Kumm, M S

This thesis provides a practical application of the Fourier technique to household data from the North Carolina time-of-use experiment. The analysis consists of estimation of the Generalized Box-Cox (GBC) and Fourier expenditure systems, comparisons of the results of tests of demand theory, and comparisons of the magnitude and preciseness of the price-elasticity estimates. The results indicate the simplest Fourier approximation performs at least as well as, and often better than, the GBC in upholding demand-theory propositions. However, comparisons of the preciseness of the price-elasticity estimates fail to clearly indicate which approximation yields more-precise elasticity estimates. The thesis also introduces an expenditure system that is a hybrid of the GBC and Fourier. This system permits direct testing of the statistical fit of the Fourier versus the GBC. The tests reveal the Fourier fits the winter data better than the GBC, but both forms fit the summer data equally well.

• OSTI ID: 6587881
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
296000* -- Energy Planning & Policy-- Electric Power
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION
320603 -- Energy Conservation
Consumption
& Utilization-- Municipalities & Community Systems-- Public Utilities-- (1980-)
ECONOMIC ANALYSIS
ECONOMIC ELASTICITY
ECONOMICS
ELECTRIC POWER
FEDERAL REGION IV
NORTH AMERICA
NORTH CAROLINA
POWER
PRICES
RESIDENTIAL SECTOR
TIME-OF-USE PRICING
USA