A pseudo-panel data model of household electricity demand

We study the dynamic behaviour of household electricity consumption on the basis of four large independent surveys conducted in the province of Québec from 1989 to 2002. The latter region displays some rather unique features such as the very extensive use of electricity for space heating in a cold climate and the wide range of energy sources used to meet space heating requirements. We adopt Deaton (1985) approach to create 25 cohorts of households that form a pseudo-panel. The cohorts have on average 131 households. The model error terms allow for group heteroskedasticity and serial correlation. Short-run and long-run own and cross-price elasticities are statistically significant. Electricity and natural gas are estimated to be substitutes while electricity and fuel oil are complements, as it may occur in the Quebec context. The estimate of the income elasticity is not significant. Comparisons with related studies are provided.     

Can Income Inequality be Affected by the Interaction Between ICTs and Human Capital?: The Evidence from Developing Countries

Income inequality in developing countries remains a major concern. It has been established that higher inequality makes a greater proportion of the population vulnerable to poverty. This paper aimed to analyse the effect of the interaction between ICTs and human capital on income inequality in developing countries. Covering 89 developing countries for the period 2000 to 2015 and based on panel fixed effects instrumental variables technique, this study finds that the interaction between ICTs and human capital reduces overall income inequality on the one hand, and on the other, leads to an increase in the income shares of the poorest, and in particular relative to the richest in developing countries. Furthermore, the interaction between ICTs and human capital reinforces the impact of ICTs on income inequality in developing countries. These results suggest that prioritizing the acquisition of human capital by the poorest, as well as promoting access to and use of ICTs for the benefit of the poorest would significantly contribute to reduce overall income inequality and increase income shares of the poorest in developing countries.