Estimated Domestic Price Effects: Model Incorporating Interfuel Substitution

In this chapter the results obtained from the empirical implementation of the model developed in Chapter 4 are reported. In order to facilitate comparisons with the results presented in Chapter 3, the estimates of the domestic price effects reported here are conditioned on the same two macro-assumptions made previously. With the exception of the data needed to quantify changes in the input-output coefficients (i.e., the q^* _ij's and m^* _ij's of the previous chapter), the requisite data inputs are the same as in Chapter 3. The data requirements for quantifying the changes in the inputoutput coefficients are discussed in the next section of this chapter. Then, the empirical results are reported. Finally, the conclusions are presented in the last section.