Replication data for: Evaluating Behaviorally Motivated Policy: Experimental Evidence from the Lightbulb Market

Principal Investigator(s): View help for Principal Investigator(s) Dmitry Taubinsky; Hunt Allcott

Name	File Type	Size	Last Modified
Allcott-and-Taubinsky---Lightbulbs---Replication			08/02/2019 10:25:PM
LICENSE.txt	text/plain	14.6 KB	08/02/2019 06:25:PM

Project Citation:

Project Description

Summary: Imperfect information and inattention to energy costs are important potential motivations for energy efficiency standards and subsidies. We evaluate these motivations in the lightbulb market using a theoretical model and two randomized experiments. We derive welfare effects as functions of reduced-form sufficient statistics capturing economic and psychological parameters, which we estimate using a novel within-subject information disclosure experiment. The main results suggest that moderate subsidies for energy-efficient lightbulbs may increase welfare, but informational and attentional biases alone do not justify a ban on incandescent lightbulbs. Our results and techniques generate broader methodological insights into welfare analysis with misoptimizing consumers. (JEL D12, D83, H21, H31, L67, Q41, Q48)

Scope of Project

JEL Classification:
      H21 Efficiency • Optimal Taxation
      Q41 Demand and Supply • Prices
      H31 Household
      D83 Search • Learning • Information and Knowledge • Communication • Belief • Unawareness
      D12 Consumer Economics: Empirical Analysis
      L67 Other Consumer Nondurables: Clothing, Textiles, Shoes, and Leather Goods; Household Goods; Sports Equipment
      Q48 Government Policy

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Published Versions

V1 [2019-08-02]

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DDI 2.5

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