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Free Riding and Energy Use: Empirical evidence from residential electricity demand in Sweden
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
2013 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

This thesis focus on the free rider problem, well known in the field of economics. It is an unwanted situation that gives rise to unnecessary deadweight costs. The aim of this thesis is to analyse the free rider problem that occur when rent include housing utilities and especially when electricity is billed collectively. A Difference-in-Differences design has been applied on two different sets of panel data covering tenants electricity consumption. The results show that tenants use 21.3 percent more electricity when not paying directly for their own electricity consumption. This thesis also shed some light on different components of this problem. The findings in this thesis contributes to the limited research in this field with new empirical evidence.

Place, publisher, year, edition, pages
2013. , 29 p.
Keyword [en]
Free riding, energy conservation, electricity demand, individual metering, behavioural economics
National Category
URN: urn:nbn:se:uu:diva-202213OAI: diva2:631458
Subject / course
Educational program
Master Programme in Economics
Available from: 2013-06-24 Created: 2013-06-20 Last updated: 2013-06-24Bibliographically approved

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