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Green electricity consumption in Swedish households: the role of norm-motivated consumer behavior
Luleå University of Technology, Department of Business Administration, Technology and Social Sciences, Social Sciences.
2006 (English)Report (Other academic)
Abstract [en]

The main purpose of this paper is to provide an econometric analysis of the most important determinants of Swedish households' (self-reported) willingness to accept a price premium for "green" electricity. Methodologically, we draw heavily on recent developments in the literature on integrating norm-motivated behavior into neoclassical consumer theory, and assume that individuals have a preference for keeping a self-image as a responsible person. Consumer behavior in the "green market place" will then be heavily determined by how purchases of different goods affect this self-image. The analysis is based on postal survey responses from 655 Swedish households in four different municipalities, which are analyzed within a binary choice econometric framework. The results indicate that the impact of choosing "green" on the household budget largely influences the willingness to contribute to "green" electricity schemes, as do the degree of perceived personal responsibility for the issue and the felt ability to affect the outcome in a positive way. We find only limited support for the idea that perception about others' behavior affect individual moral norms and ultimately behavior: stronger support is rather found for the hypothesis that the presence of a prescriptive social norm influences the willingness to pay for "green" electricity. The difficulty in observing others' purchases makes it however particularly difficult to distinguish between social and moral norms in the case of "green" electricity.

Place, publisher, year, edition, pages
Luleå: SHARP Research Program , 2006. , 32 p.
Research subject
URN: urn:nbn:se:ltu:diva-22846Local ID: 484fde40-baab-11dc-96bd-000ea68e967bOAI: diva2:995895
Godkänd; 2006; 20080104 (ysko)Available from: 2016-09-29 Created: 2016-09-29Bibliographically approved

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