Management Science · 1982 · 23 citations · 5 references
EngineeringApplied EconomicsEnergy EfficiencyEconomic AssessmentEnergy MarketsTechnology Selection DecisionEnergy EconomyIndustrial OrganizationTechnology SelectionTechno-economic AnalysisEconomic AnalysisTechnology ChoicesQuantitative ManagementTechnology TransferEnergy ConsumptionEconomicsProduction TechnologyTechno-economic AssessmentMicroeconomic AssumptionsEnergy ManagementBusinessEnergy SupplyTechnologyEnergy EconomicsMicroeconomics
A set of microeconomic assumptions are presented that lead to a model of the technology choices made by producers of a homogenous energy product. Under these assumptions it is possible to model the technology selection decision as being made solely to minimize product cost. Since the cost of producing energy using a particular technology will be different for different producers, a number of technologies will be adopted in the market rather than a single, “least-cost” technology.
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