We study the effect of a subtle change in the choice architecture on offsetting behavior. In a large-scale field experiment, we examine repeated voluntary contributions to a carbon offsetting program during the online purchase of long-distance bus tickets. In the control group, travelers had the...

The political discussion on energy efficiency is focusing more and more on the building sector due to its susceptibility to potential market failures like the negative external pollution effects of CO2 emission. Using a discrete choice approach, this paper aims at deriving factors which increase...

Recent contributions to the theoretical and experimental literature suggest that minimum participation rules (MPRs) are able to reduce free-riding incentives and may facilitate cooperation (or at least coordination) at the extensive margin of international environmental agreements. Based on a...

Der deutsche Strommarkt ist im Umbruch. Strom aus erneuerbaren Quellen verdrängt solchen aus konventioneller Erzeugung. Gleichzeitig wird immer mehr Elektrizität im Norden Deutschlands produziert und muss zu den Verbrauchern im Süden transportiert werden. Die bestehende Marktordung fordert...

Current climate and energy policy has to operate under an ex-ante unforeseen economic crisis. An obvious consequence is the collapse of prices for carbon emission allowances as, for example, seen in the European Union. However, this price collapse may be amplified by the interaction of a carbon...

The iron and steel industry is one of the most carbon emitting and energy consuming sectors in Europe. At the same time this sector is of high economic importance for the European Union. Therefore, while public environmental and energy policies target this sector, there is political concern that...

Germany taxes electricity use since 1999. The government granted reduced rates to energy intensive firms in the industrial sector for addressing potentially adverse effects on firms' competitiveness. Firms that use more electricity than certain thresholds established by legislation, pay reduced...

Given the vital and controversial debate on fairness concerns in international climate negotiations, the acceptance of a climate treaty may be fostered if the distribution of costs and benefits from global environmental protection is perceived to be "fair". Since an agreement must be acceptable...

In this paper, we investigate both short- and long-term impacts of financial stimuli on public goods provision when contributions are tied to individual harm-related behavior. We conduct a large-scaled field experiment to examine voluntary contributions to a carbon offsetting program during the...

We experimentally test different rule-based contribution mechanisms in a repeated 4-player public goods game with endowment heterogeneity and compare them to a VCM, distinguishing between a random- and an effort-based allocation of endowments. We find that endowment heterogeneities limit the...