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Distinguishing economic and moral compensation in the rebound effect: A theoretical and experimental approach

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  • Simon Mathex

    (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

  • Lisette Ibanez

    (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

  • Raphaële Préget

    (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

Abstract

The rebound effect occurs when improvements in energy efficiency result in lower energy savings than expected due to changes in behavior. These behavioral changes can be caused by an economic compensation and a moral compensation. For moral compensation, we consider moral licensing effect, but also the case of moral cleansing effect. The objective of our paper is to distinguish the economic and moral compensation in the rebound effect. To do so, we propose a theoretical model and an online experiment with 1622 subjects. Our experimental results show that an improvement in energy efficiency leads to a rebound effect through economic compensation. Concerning moral compensation, we do not observe any moral licensing but rather consistent behavior among participants with strong environmental attitudes. Finally, we find evidence for moral cleansing, which reduces the magnitude of the rebound effect.

Suggested Citation

  • Simon Mathex & Lisette Ibanez & Raphaële Préget, 2023. "Distinguishing economic and moral compensation in the rebound effect: A theoretical and experimental approach," CEE-M Working Papers hal-04071161, CEE-M, Universtiy of Montpellier, CNRS, INRA, Montpellier SupAgro.
    • Handle: RePEc:hal:wpceem:hal-04071161
    Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-04071161v1
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    References listed on IDEAS

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    Keywords

    Rebound effect; economic compensation; moral compensation; moral licensing effect; moral cleansing effect; online experiment;
    All these keywords.

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