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The Personality Profiles of Early Adopters of Energy-Efficient Technology

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  • Ante Busic-Sontic
  • Franz Fuerst

Abstract

This study investigates whether energy efficiency investments are driven by differences in personality traits among homeowners. Using data on nearly 3,000 households in Germany, we estimate that compared to the median level, homeowners in the lowest quartile of Openness to Experience have 5.0%-23.4% lower propensity to invest in capital-intensive energy efficiency measures, while homeowners in the highest quartile of Agreeableness are 7.7%-18.0% less likelyto do so. Splitting the energy efficiency investments into two groups yields stronger effects of the same two personality traits for window modernisations and thermal insulation installations, whereas no impact of the personality traits is observed for solar energy and other alternative energy systems, possibly because subsidies for the latter were introduced much earlier in Germany, overriding any effects of personality traits in the investment decisions. These findings may also suggest that personality traits are of greater significance for marginal investors.

Suggested Citation

  • Ante Busic-Sontic & Franz Fuerst, 2017. "The Personality Profiles of Early Adopters of Energy-Efficient Technology," SOEPpapers on Multidisciplinary Panel Data Research 924, DIW Berlin, The German Socio-Economic Panel (SOEP).
    • Handle: RePEc:diw:diwsop:diw_sp924
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    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.564046.de/diw_sp0924.pdf
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    References listed on IDEAS

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    1. Henningsen, Geraldine & Wiese, Catharina, 2019. "Do Household Characteristics Really Matter? A Meta-Analysis on the Determinants of Households’ Energy-Efficiency Investments," MPRA Paper 101701, University Library of Munich, Germany.
    2. Mukherjee, Sanghamitra Chattopadhyay & Ryan, Lisa, 2020. "Factors influencing early battery electric vehicle adoption in Ireland," Renewable and Sustainable Energy Reviews, Elsevier, vol. 118(C).
    3. Jacksohn, Anke & Grösche, Peter & Rehdanz, Katrin & Schröder, Carsten, 2019. "Drivers of renewable technology adoption in the household sector," Energy Economics, Elsevier, vol. 81(C), pages 216-226.
    4. Marlena Piekut, 2021. "The Consumption of Renewable Energy Sources (RES) by the European Union Households between 2004 and 2019," Energies, MDPI, vol. 14(17), pages 1-31, September.

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    Keywords

    Energy efficiency; personality traits; technology; diffusion; residential sector;
    All these keywords.

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