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The Response of Consumption to Fuel Switching : Panel Data Estimates

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dc.affiliation.dptoUC3M. Departamento de Economíaes
dc.contributor.authorImelda, Imelda
dc.contributor.editorUniversidad Carlos III de Madrid. Departamento de Economíaes
dc.date.accessioned2018-11-05T15:25:51Z
dc.date.available2018-11-05T15:25:51Z
dc.date.issued2018-10-26
dc.description.abstractThis paper investigates on the extent to which the switching improves households' standard of living. Using a nationwide transition from kerosene to cleaner burning propane in Indonesia, I explore households' consumption response to fuel switching from a nation wide kerosene to liquid petroleum gas conversion program in Indonesia. Based on combustion efficiency and end-use energy equivalence, LPG is cleaner and more efficient than kerosene. Using variation in the timing of the implementation on four waves of the Indonesia longitudinal survey, I compare changes in expenditure within households of targeted districts with changes in expenditure within households of untargeted districts. I find that households reduce their kerosene consumption up to 100% and their fuel expenses are reduced by 40%, or 1.19 USD per month on average. These effects are higher among poor households. I do not find any response to other nondurable expenditures which provides some evidence of consumption smoothing. This is as expected considering the size of the effect is only about a 2% reduction from total monthly expenditure.en
dc.format.mimetypeapplication/pdf
dc.identifier.issn2340-5031es
dc.identifier.urihttps://hdl.handle.net/10016/27653
dc.identifier.uxxiDT/0000001647es
dc.language.isoenges
dc.relation.ispartofseriesUC3M Working papers. Economicsen
dc.relation.ispartofseries18-11es
dc.rightsAtribución-NoComercial-SinDerivadas 3.0 España*
dc.rights.accessRightsopen accessen
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/3.0/es/*
dc.titleThe Response of Consumption to Fuel Switching : Panel Data Estimatesen
dc.typeworking paper*
dc.type.hasVersionAO*
dspace.entity.typePublication
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