Authors
1 Assistant Professor in Economics, Ilam University, Ilam, Iran
2 , Roohollah Noor Mohammadi2
Abstract
Considering the highly importance of the agricultural sector in the provincial economy of Ilam and the emergence of awareness of demands for the forms of energy in the mentioned sector, as well as awareness of the price liberalization policies applied on the forms of energy, the present study aims to investigate the demands for the major energy consumptions in the agricultural sectors. The aim of this study is to determine the influencing factors on energy consumption patterns; and to determine the complementary and altering energy relations, using the estimating demand for different forms of energy.
This study applies the Almost Ideal Demand System to estimate the elasticity of the forms of energy. The achieved results exhibit the adversity and conformity of all the energy own-price elasticities to the demand theory. Results on the cross elasticity indicate to large extant identical in both restricted and unrestricted cases and to some extant low for the cross elasticity between the forms of energy. Moreover, the results indicate positive and less than one for the income elasticity of energy in the restricted case, that are considered as an essential commodity.
Keywords