Residential and commercial sectors - AIM-Hub
|Institution||National Institute for Environmental Studies (NIES), Japan, .|
|Solution concept||General equilibrium (closed economy)|
In terms of the commercial sector, energy demand is determined as for the industrial sector. For the residential sector, there are two options. One is the use of LES functions which Stone-Geary utility function is the basis (https://en.wikipedia.org/wiki/Stone%E2%80%93Geary_utility_function). The parameters that determine expenditure preference are recursively updated according to the given income elasticity. The other option enables the consideration of bottom-up energy technological information and the energy demand explicitly determined by detailed energy technologies. The default treatment is LES.