[39] The considerable progress made on energy intensity after the oil shocks in the early 1970s gives us cause to be optimistic that similar progress can be achieved in response to the current shock.
[40]  Policy implications: seeking a divine coincidence To achieve a “divine coincidence” whereby reducing the dependence on fossil fuels does not come at the expense of higher energy prices, public policies will need to succeed in reducing energy intensity, protecting energy security and financing the transition. First, policies will need to provide incentives to lower fossil fuel demand for a given after-tax price.