Using stated preference methods to design cost-effective subsidy programs to induce technology adoption: An application to a stove program in southern Chile

Submitted by NENRE Concepcion on

We study the design of an economic incentive based program – a subsidy – to induce adoption of more efficient technology in a pollution reduction program in southern Chile. Stated preferences methods, contingent valuation (CV), and choice experiment (CE) are used to estimate the probability of adoption and the willingness to share the cost of a new technology by a household. The cost-effectiveness property of different subsidy schemes is explored numerically for different regulatory objectives.

Policy Design

Nudging Boserup? The Impact of Fertilizer Subsidies on Investment in Soil and Water Conservation

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The new fertilizer subsidies in sub-Saharan Africa are intended to increase agricultural production and ensure development of a fertilizer market. Fertilizer adoption requires complementary inputs, such as investment in soil and water conservation (SWC), for efficient and optimal nutrient uptake, and many fertilizer subsidy programs implicitly assume that fertilizer subsidies crowd in such investments.

Agriculture

The Fossil Endgame: Strategic Oil Price Discrimination and Carbon Taxation

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This paper analyzes how fossil fuel-producing countries can counteract climate policy. We analyze the exhaustion of oil resources and the subsequent transition to a backstop technology as a strategic game between the consumers and producers of oil, which we refer to simply as ‘OECD’ and ‘OPEC’, respectively.

Climate Change, Policy Design, Carbon Pricing

Policies for second generation biofuels: Current status and future challenges

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This report reviews the current status of second generation biofuels. First generation biofuels continue to be substantially subsidized, and this has contributed to the increasing use of such fuel. However, recent studies claim that the future of biofuels lies in second generation biofuels, in particular biochemical ethanol made from cellulose.

Climate Change, Policy Design

Preferences for domestic fuel: Analysis with socio-economic factors and rankings in Kolkata, India

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The choice of domestic fuel is a matter of great concern for households and policy makers in India. This paper investigates the demand for domestic fuels when households face four choices: Fuelwood, Coal, Kerosene and LPG.

 

Forestry, Policy Design