TODAY IN ENERGY: Friday, March 22, 2013
U.S. economy and electricity demand growth are linked, but relationship is changing
A country's economy and its energy use, particularly electricity use, are linked. Short-term changes in electricity use are often positively correlated with changes in economic output (measured by gross domestic product). However, the underlying long-term trends in the two indicators may differ. All else equal, a growing economy leads to greater energy and electricity use. In developed countries like the United States, the relationship has been changing, as economic growth now outpaces electricity growth.