During 4 hours of the lectures and the demonstrations, the students will learn how to calculate the energy security costs.
The energy security costs are externalities that are not included in the market price of the energy, such as the short-term macroeconomics adjustment costs after the sudden increase of the oil import price and the long-term monopsony power to extract the cartel rent held by the oil producing countries.
The basic concepts and examples of those short-term and long-term energy security costs will be lectured during the first one hour; and then more basic microeconomics theory will follow together with graphical presentations as well as mathematical expressions in the next one hour.
In the third hour, the presentation will be shown on the results of the case study held in Ukraine, which used the GDP as the indicator of the economy together with the different parameters such as the gas import price, the various Production Price Indices of different industries, the consumed gas volumes by different industries and the productions of different industries. As the result, a proposal will be made on the national strategy of industrial development of Ukraine, which is based on the results of the case study.
In the last one hour, the computer demonstrations will be shown, using the forecasting technique in time-series, upon the case of the GDP growth of Ukraine. The software will be the user friendly EViews and the input data will be the ones that were used for the above mentioned case study. After the demonstration, the students will be invited to the discussions on the international energy problems and the world economy, which is to be guided by the lecturer.
Tutor of the course:
Prof. Y. Matsuki, Department of Mathematical Method for System Analysis, Institute for System Analysis, National Technical University of Ukraine “Kyiv Polytechnic Institute”