By Dermot Gately, Shane S. Streifel
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Additional resources for The demand for oil products in developing countries, Parts 63-359
Several of the lowestincome countries are still heavily reliant on such fuels: Nigeria, Kenya, Bangladesh. China and India are much less reliant on biomass than are many other low-income countries; they use coal for much of their total energy: 76% and 60% respectively. Nevertheless, the volume of biomass use in these two countries is significant. The third graph of this type, Figure 12, shows 1993 fuel shares of energy used in electric power generation. The countries are ordered by their 1993 oil-share in electric power.
Results were mixed for jet fuel and heavy oil, and quite unsatisfactory for naphtha and kerosene. Income was the most important explanatory variable, and the oil-exporting countries often displayed an asymmetric response to income increases and decreases. In only about a third of the cases was the price of crude oil significant, and the estimated elasticities were small relative to the income elasticity. The evidence on whether demand responded symmetrically to oil price increases and decreases was mixed: some products in some countries appeared to respond symmetrically, and others asymmetrically.
Product Consumption 30 5. Oil Product Consumption, 1993 35 6. Oil/GDP Ratios for Total Oil and Eight Products, 1993 37 7. Gasoline Demand Equations: Long-run Elasticities 66 8. Diesel Demand Equations: Long-run Elasticities 67 9. Jet Fuel Demand Equations: Long-run Elasticities 68 10. Heavy Fuel Oil Demand Equations: Long-run Elasticities 69 11. LPG Demand Equations: Long-run Elasticities 70 12. Kerosene Demand Equations: Long-run Elasticities 71 13. Naphtha Demand Equations: Long-run Elasticities 72 14.
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