Are Consumers Attentive to Local Energy Costs? Evidence from the Appliance Market /
Houde, Sébastien.
Are Consumers Attentive to Local Energy Costs? Evidence from the Appliance Market / Sébastien Houde, Erica Myers. - Cambridge, Mass. National Bureau of Economic Research 2019. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25591 . - Working Paper Series (National Bureau of Economic Research) no. w25591. .
February 2019.
We estimate whether consumers respond to local energy costs when purchasing appliances. Using a dataset from an appliance retailer, we compare demand responsiveness to a measure of energy costs that varies with local energy prices versus purchase prices. We strongly reject that consumers are unresponsive to local energy costs under a wide range of assumptions. These findings run counter to the popular wisdom, which motivates energy standards, that energy costs are a shrouded attribute. Capital investments are an important channel for electricity demand response and may explain some of the large differences between short and long run electricity price elasticities.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.
Are Consumers Attentive to Local Energy Costs? Evidence from the Appliance Market / Sébastien Houde, Erica Myers. - Cambridge, Mass. National Bureau of Economic Research 2019. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25591 . - Working Paper Series (National Bureau of Economic Research) no. w25591. .
February 2019.
We estimate whether consumers respond to local energy costs when purchasing appliances. Using a dataset from an appliance retailer, we compare demand responsiveness to a measure of energy costs that varies with local energy prices versus purchase prices. We strongly reject that consumers are unresponsive to local energy costs under a wide range of assumptions. These findings run counter to the popular wisdom, which motivates energy standards, that energy costs are a shrouded attribute. Capital investments are an important channel for electricity demand response and may explain some of the large differences between short and long run electricity price elasticities.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.