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Economic theory suggests that energy subsidies can lead to excessive consumption and environmental degradation. However, the precise impact of energy subsidies is not well understood. We analyze a large energy subsidy: the California Alternate Rates for Energy (CARE). CARE provides a price...
Persistent link: https://www.econbiz.de/10012482589
Half of American households heat their homes with natural gas furnaces and 43% use it to heat their water. Hence, understanding residential natural gas consumption behavior has become a first-order problem. In this paper, we provide the first ever causally identified, microdata-based estimates...
Persistent link: https://www.econbiz.de/10012453419
This paper measures the extent to which prices exceed marginal costs in the U.S. natural gas distribution market during the period 1991-2007. We find large departures from marginal cost pricing in all 50 states, with residential and commercial customers facing average markups of over 40%. Based...
Persistent link: https://www.econbiz.de/10012462765
We examine the environmental impact of the post-2005 natural gas glut in the United States due to the shale gas boom. Our focus is on quantifying short-term coal-to-gas switching decisions by different types of electric power plants in response to changes in the relative price of the two fuels....
Persistent link: https://www.econbiz.de/10012457042
Expenditure visibility--the extent to which a household's spending on a consumption category is noticeable to others …-average spending. Jointly, these visibility measures explain up to three quarters or more of the observed variation in total-expenditure …
Persistent link: https://www.econbiz.de/10012480813
work and policy discussions often highlight marginal propensities for expenditure (MPX), which incorporate spending on a …
Persistent link: https://www.econbiz.de/10012814439
affect total expenditures in households headed by low-educated single mothers. However, patterns of expenditure did change … well-being and expenditure patterns of poor single-mother families. Our research suggests that welfare reform did not … significant changes in expenditures on childcare or learning and enrichment activities. This pattern of results suggests that …
Persistent link: https://www.econbiz.de/10012466037
We develop a pair of risk measures, health and mortality delta, for the universe of life and health insurance products. A life-cycle model of insurance choice simplifies to replicating the optimal health and mortality delta through a portfolio of insurance products. We estimate the model to...
Persistent link: https://www.econbiz.de/10012461333
We show that the hedging benefit of owning a home reduces the variability of housing consumption after a move. When a current home owner's house price covaries positively with housing costs in a future city, changes in the future cost of housing are offset by commensurate changes in wealth...
Persistent link: https://www.econbiz.de/10012462126
In this paper we document significantly steeper declines in nondurable expenditures in the UK compared to the US, in … ownership and expenses, levels and paths of health status, number of household members, and out-of -pocket medical expenditures …
Persistent link: https://www.econbiz.de/10012456166