In order to mitigate climate change, several countries around the world have introduced or are planning a CO2 tax on energy consumption. The effectiveness of such a tax depends on the level of the short- and long-run price elasticity. Moreover, acceptance of a CO2 tax by a society depends on...

This paper presents an empirical analysis of residential electricity demand considering the existence of spatial effects. This analysis has been performed using aggregate panel data at the province level for 46 Spanish provinces for the period from 2001 to 2009. For this purpose, we estimated a...

China is one of the largest consumers of energy globally. The country also emits some of the highest levels of CO2 globally. In 2009, 18% of the world’s total energy was consumed in China and the growth rate of energy consumption in China is 6.4% per year. In recent years, the Chinese...

The promotion of US energy efficiency policy is seen as a very important activity by the Energy Information Agency (EIA). Generally, the level of energy efficiency of a state is approximated by energy intensity, commonly calculated as the ratio of energy use to GDP. However, energy intensity is...

A central question in the analysis of fuel-economy policy is whether consumers are myopic with regards to future fuel costs. We provide the first evidence on consumer valuation of fuel economy from a natural experiment. We examine the short-run equilibrium effects of an exogenous restatement of...

Addressing hazardous levels of air pollution in densely-populated cities in emerging countries requires concerted efforts to reduce fossil fuel use, especially in the transport sector. Given that motorcycles comprise almost 80% of vehicle sales in Nepal, a viable alternative to reduce air...

The behavioral responses to taxes and subsidies are often subject to various behavioral biases and transaction costs - what we define as "microfrictions". We develop a theoretical framework to show how these microfrictions - and their heterogeneity across the population and policy instruments -...

We set up a simple dynamic macroeconomic model with (i) polluting consump- tion and a preference for a clean environment, (ii) increasing returns in abatement giving rise to an EKC and (iii) sustained growth resulting from a linear final-output technology. The model captures two sorts of market...

Air pollution is a grave problem in urban areas of developing countries, with the transport sector being one of the largest contributors to emissions. A possibility to reduce carbon dioxide emissions would be for individuals to switch to more fuel-efficient vehicles. However, a gamut of...

This paper evaluates the impact of a policy that was implemented to reduce the energy intensity of firms in some manufacturing sectors in India, on the total factor productivity (TFP) growth of firms and on its components, scale efficiency and technical change. Using plant-level panel data on...