The article explores how to estimate energy demand elasticities by using cointegration analysis in a multivariate framework. The researchers studied Austrian residential energy demand from 1970 to 1993, considering factors like energy price, income, and temperature. They found that there is one cointegrating vector, leading to long-run energy demand elasticities of -0.02 for price, +1.13 for income, and +0.77 for temperature. This suggests that the impact of price on energy demand may be lower than commonly thought. The short-run analysis also highlighted the importance of the error-correction term in the model.