Energy intensity

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Energy intensity is a measure of the energy inefficiency of an economy. It is calculated as units of energy per unit of GDP (Gross Domestic Product) or some other measure of economic output. High energy intensities indicate a high price or cost of converting energy into GDP. On the other hand, low energy intensity indicates a lower price or cost of converting energy into GDP. The energy intensity of a country or region differs from its energy efficiency. Energy intensity is affected by climate, economic structure (e.g. services vs. manufacturing), trade, as well as the energy efficiency of buildings, vehicles, and industry. High energy intensity means high industrial output as portion of GDP. Countries with low energy intensity signifies labor intensive economy.