Imelda, ImeldaUniversidad Carlos III de Madrid. Departamento de Economía2018-11-052018-11-052018-10-262340-5031https://hdl.handle.net/10016/27653This 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.application/pdfengAtribución-NoComercial-SinDerivadas 3.0 Españaworking paperopen accessDT/0000001647