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date: 15 February 2019

Abstract and Keywords

The year 2007 marked an important milestone as, for the first time in history, the world’s urban population passed 50%. An increase in urbanization brings new opportunities and new challenges with respect to business, society, and the economy as increases in urbanization are associated with greater economic activity. One particular area of interest is how urbanization affects energy consumption. This chapter surveys recent theoretical and empirical contributions on the relationship between urbanization and energy consumption. The chapter first sets out the conceptual framework and some empirical observations on the relationship between energy consumption and urbanization. This is followed by sections that provide a more detailed review of the empirical evidence linking energy consumption with urbanization. The chapter concludes with some limitations from existing empirical studies, suggestions for future research, and policy implications.

Keywords: energy consumption, urbanization, policy implications

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