Do Energy Efficiency Improvements Reduce Energy Use? Empirical Evidence on the Economy-Wide Rebound Effect in Europe and the United States

Identification of Structural VAR Models via Independent Component Analysis: A Performance Evaluation Study

“…4. As mentioned in Berner et al (2022), one can label the shocks identified by ICA using a criterion derived by the estimation of the forecast error variance decomposition.…”

“…The list proposed above does not certainly exhaust the class of possible criteria for choosing the permutation matrix P. It is also conceivable to apply a mixture of different criteria: for example one can apply the MaxFinder criterion and check whether it is consistent with the forecast error variance decomposition criterion (see Berner et al, 2022).…”

Tired of climate targets? Shift focus of IPCC scenarios from emission and growth targets to policies

“…This omission is particularly unfortunate, as carbon pricing is well‐equipped to limit rebound effects that are a likely outcome of many degrowth targets and measures. Some recent reviews and empirical studies for the United States and Europe show that such a rebound can reach up to 100%, underpinning the criticality of pricing policies 48,49 . Moreover, carbon pricing arguably offers the best potential for international harmonization of climate policy, essential for realizing much more stringent policies in all countries 50,51 .…”

Identification of Structural VAR Models Via Independent Component Analysis: A Performance Evaluation Study

“…4. As mentioned in Berner et al (2022) , one can label the shocks identified by ICA using a criterion derived by the estimation of the forecast error variance decomposition. Following this approach, one finds a permutation matrix P such that the shocks ε t = P D −1 B −1 0 u t have the following characteristics: the prediction mean squared error (MSPE) of variable y 1 ,t+ h is maximally accounted for by shock ε 1 t , the MSPE of y 2 ,t+ h is maximally accounted for by ε 2 t , etc.…”

“…10 The list proposed above does not certainly exhaust the class of possible criteria for choosing the permutation matrix P . It is also conceivable to apply a mixture of different criteria: for example one can apply the MaxFinder criterion and check whether it is consistent with the forecast error variance decomposition criterion (see Berner et al, 2022 ).…”