EN
Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative
Abstract
Numerous studies have investigated the dynamic interrelationship between carbon emission trading market and energy markets. Previous studies focused on the European Union Emissions Trading Scheme ascertain that carbon market and energy markets are closely attached, and find that electricity market is the main driver of the system. Our research on U.S. Regional Greenhouse Gas Initiative (RGGI) using Lag Augmented Vector Autoregression reveals that the RGGI market and electricity market in the region are tied but not strongly, unlike the EU-ETS. This loose relationship between the two markets might be explained by the recent weak carbon credit demand stemming from fuel switching and low electricity demand. Another finding is that natural gas is the main driver of the RGGI system, which is possibly due to from the recent shale gas boom.
Keywords
Details
Primary Language
English
Subjects
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Journal Section
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Publication Date
June 1, 2015
Submission Date
June 1, 2015
Acceptance Date
-
Published in Issue
Year 2015 Volume: 5 Number: 2
APA
Kim, M.-K., & Lee, K. (2015). Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative. International Journal of Energy Economics and Policy, 5(2), 494-501. https://izlik.org/JA25DY66TH
AMA
1.Kim MK, Lee K. Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative. IJEEP. 2015;5(2):494-501. https://izlik.org/JA25DY66TH
Chicago
Kim, Man-Keun, and Kangil Lee. 2015. “Dynamic Interactions Between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative”. International Journal of Energy Economics and Policy 5 (2): 494-501. https://izlik.org/JA25DY66TH.
EndNote
Kim M-K, Lee K (June 1, 2015) Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative. International Journal of Energy Economics and Policy 5 2 494–501.
IEEE
[1]M.-K. Kim and K. Lee, “Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative”, IJEEP, vol. 5, no. 2, pp. 494–501, June 2015, [Online]. Available: https://izlik.org/JA25DY66TH
ISNAD
Kim, Man-Keun - Lee, Kangil. “Dynamic Interactions Between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative”. International Journal of Energy Economics and Policy 5/2 (June 1, 2015): 494-501. https://izlik.org/JA25DY66TH.
JAMA
1.Kim M-K, Lee K. Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative. IJEEP. 2015;5:494–501.
MLA
Kim, Man-Keun, and Kangil Lee. “Dynamic Interactions Between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative”. International Journal of Energy Economics and Policy, vol. 5, no. 2, June 2015, pp. 494-01, https://izlik.org/JA25DY66TH.
Vancouver
1.Man-Keun Kim, Kangil Lee. Dynamic Interactions between Carbon and Energy Prices in the U.S. Regional Greenhouse Gas Initiative. IJEEP [Internet]. 2015 Jun. 1;5(2):494-501. Available from: https://izlik.org/JA25DY66TH