MARGINAL ENERGY COST OF GOODS AND SERVICES.

So far at the University of Illinois Energy Research Group (ERG), the authors have calculated a set of average energy intensities representing the average energy used directly and indirectly per unit of output. In this paper they develop a set of energy intensities based on 'marginal input coefficients' - that is, ratios of changes in inputs to the associated changes in output. The resulting marginal energy intensities represent the total, direct and indirect, energy required per unit change in output. This is the first attempt to construct marginal energy intensities. These two sets of intensities are applied to several policy questions.