Energy Efficiency Economics and Policy
35 Pages Posted: 4 Apr 2009 Last revised: 4 Nov 2014
There are 4 versions of this paper
Energy Efficiency Economics and Policy
Energy Efficiency Economics and Policy
Energy Efficiency Economics and Policy
Energy Efficiency Economics and Policy
Date Written: April 3, 2009
Abstract
Energy efficiency and conservation are considered key means for reducing greenhouse gas emissions and achieving other energy policy goals, but associated market behavior and policy responses have engendered debates in the economic literature. We review economic concepts underlying consumer decisionmaking in energy efficiency and conservation and examine related empirical literature. In particular, we provide an economic perspective on the range of market barriers, market failures, and behavioral failures that have been cited in the energy efficiency context. We assess the extent to which these conditions provide a motivation for policy intervention in energy-using product markets, including an examination of the evidence on policy effectiveness and cost. While theory and empirical evidence suggest there is potential for welfare-enhancing energy efficiency policies, many open questions remain, particularly relating to the extent of some of the key market and behavioral failures.
Keywords: energy efficiency, appliance standards, energy policy, market failures, behavioral failures
JEL Classification: Q38, Q41
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
Energy Efficiency Economics and Policy
By Kenneth Gillingham, Richard G. Newell, ...
-
The Rebound Effect and Energy Efficiency Policy
By Kenneth Gillingham, David Rapson, ...
-
Are Building Codes Effective at Saving Energy? Evidence from Residential Billing Data in Florida
By Grant Jacobsen and Matthew J. Kotchen
-
Is There an Energy Efficiency Gap?
By Hunt Allcott and Michael Greenstone
-
Is There an Energy Efficiency Gap?
By Hunt Allcott, Hunt Allcott, ...
-
Cost-Effectiveness of Electricity Energy Efficiency Programs
By Toshi H. Arimura, Shanjun Li, ...
-
Cost-Effectiveness of Electricity Energy Efficiency Programs
By Toshi H. Arimura, Shanjun Li, ...
-
By Dora L. Costa and Matthew E. Kahn
-
Are Energy Efficiency Standards Justified?
By Ian W. H. Parry, David A. Evans, ...