IDEAS home Printed from https://ideas.repec.org/p/hhs/gunwpe/0595.html
   My bibliography  Save this paper

Household fuel choice in urban China: A random effect generalized probit analysis

Author

Listed:
  • Zhang, Xiao-Bing

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

  • Hassen, Sied

    (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

Using seven rounds of household survey data that span more than a decade, this paper analyzes the determinants of household fuel choice in urban China. Unlike the existing studies, we use an empirical strategy that takes into account the potential heterogeneous effects of socio-economic factors in households’ preference ordering. Robustness of this empirical strategy is checked against alternative methods. The results show that household fuel choice in urban China is related to fuel prices, household’s economic status and size, and household head’s gender, education and occupation. Our results suggest that policies and interventions that raise household income, reduce prices of clean fuel sources, and empower women in the household are of great significance in encouraging the adoption of clean energy sources.

Suggested Citation

  • Zhang, Xiao-Bing & Hassen, Sied, 2014. "Household fuel choice in urban China: A random effect generalized probit analysis," Working Papers in Economics 595, University of Gothenburg, Department of Economics.
    • Handle: RePEc:hhs:gunwpe:0595
    as

    Download full text from publisher

    File URL: https://gupea.ub.gu.se/handle/2077/35817
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gebreegziabher, Zenebe & Mekonnen, Alemu & Kassie, Menale & Köhlin, Gunnar, 2012. "Urban energy transition and technology adoption: The case of Tigrai, northern Ethiopia," Energy Economics, Elsevier, vol. 34(2), pages 410-418.
    2. Chen, Le & Heerink, Nico & van den Berg, Marrit, 2006. "Energy consumption in rural China: A household model for three villages in Jiangxi Province," Ecological Economics, Elsevier, vol. 58(2), pages 407-420, June.
    3. Hosier, Richard H. & Dowd, Jeffrey, 1987. "Household fuel choice in Zimbabwe : An empirical test of the energy ladder hypothesis," Resources and Energy, Elsevier, vol. 9(4), pages 347-361, December.
    4. Cai, Jing & Jiang, Zhigang, 2008. "Changing of energy consumption patterns from rural households to urban households in China: An example from Shaanxi Province, China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 12(6), pages 1667-1680, August.
    5. Reddy, Amulya K.N. & Reddy, B.Sudhakara, 1994. "Substitution of energy carriers for cooking in Bangalore," Energy, Elsevier, vol. 19(5), pages 561-571.
    6. Jingchao, Zhang & Kotani, Koji, 2012. "The determinants of household energy demand in rural Beijing: Can environmentally friendly technologies be effective?," Energy Economics, Elsevier, vol. 34(2), pages 381-388.
    7. Masera, Omar R. & Saatkamp, Barbara D. & Kammen, Daniel M., 2000. "From Linear Fuel Switching to Multiple Cooking Strategies: A Critique and Alternative to the Energy Ladder Model," World Development, Elsevier, vol. 28(12), pages 2083-2103, December.
    8. Leiwen Jiang & Brian C. O'Neill, 2004. "The energy transition in rural China," International Journal of Global Energy Issues, Inderscience Enterprises Ltd, vol. 21(1/2), pages 2-26.
    9. Pachauri, Shonali & Jiang, Leiwen, 2008. "The household energy transition in India and China," Energy Policy, Elsevier, vol. 36(11), pages 4022-4035, November.
    10. Heltberg, Rasmus, 2004. "Fuel switching: evidence from eight developing countries," Energy Economics, Elsevier, vol. 26(5), pages 869-887, September.
    11. Sudhakara Reddy, B., 1995. "A multilogit model for fuel shifts in the domestic sector," Energy, Elsevier, vol. 20(9), pages 929-936.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bingdong Hou & Xin Tang & Chunbo Ma & Li Liu & Yi-Ming Wei & Hua Liao, 2018. "Cooking fuel choice in rural China: results from microdata," CEEP-BIT Working Papers 110, Center for Energy and Environmental Policy Research (CEEP), Beijing Institute of Technology.
    2. Muller, Christophe & Yan, Huijie, 2018. "Household fuel use in developing countries: Review of theory and evidence," Energy Economics, Elsevier, vol. 70(C), pages 429-439.
    3. Liao, Hua & Tang, Xin & Wei, Yi-Ming, 2016. "Solid fuel use in rural China and its health effects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 60(C), pages 900-908.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhang, Xiao-Bing & Hassen, Sied, 2017. "Household fuel choice in urban China: evidence from panel data," Environment and Development Economics, Cambridge University Press, vol. 22(4), pages 392-413, August.
    2. Muller, Christophe & Yan, Huijie, 2018. "Household fuel use in developing countries: Review of theory and evidence," Energy Economics, Elsevier, vol. 70(C), pages 429-439.
    3. Christophe Muller & Huijie Yan, 2018. "Household Fuel Use in Rural China," AMSE Working Papers 1808, Aix-Marseille School of Economics, France.
    4. Malla, Sunil & Timilsina, Govinda R, 2014. "Household cooking fuel choice and adoption of improved cookstoves in developing countries : a review," Policy Research Working Paper Series 6903, The World Bank.
    5. Jack Gregory & David I. Stern, 2012. "Fuel Choices in Rural Maharashtra," CCEP Working Papers 1207, Centre for Climate & Energy Policy, Crawford School of Public Policy, The Australian National University.
    6. Yang, Xiaojun & Xu, Jintao & Xu, Xiaojie & Yi, Yuanyuan & Hyde, William F., 2020. "Collective forest tenure reform and household energy consumption: A case study in Yunnan Province, China," China Economic Review, Elsevier, vol. 60(C).
    7. Zheng, Xinye & Wei, Chu & Qin, Ping & Guo, Jin & Yu, Yihua & Song, Feng & Chen, Zhanming, 2014. "Characteristics of residential energy consumption in China: Findings from a household survey," Energy Policy, Elsevier, vol. 75(C), pages 126-135.
    8. Han, Hongyun & Wu, Shu & Zhang, Zhijian, 2018. "Factors underlying rural household energy transition: A case study of China," Energy Policy, Elsevier, vol. 114(C), pages 234-244.
    9. Ahmed Moustapha Mfokeu & Elie Virgile Chrysostome & Jean-Pierre Gueyie & Olivier Ebenezer Mun Ngapna, 2023. "Consumer Motivation behind the Use of Ecological Charcoal in Cameroon," Sustainability, MDPI, vol. 15(3), pages 1-22, January.
    10. Gelo, Dambala & Kollamparambil, Umakrishnan & Jeuland, Marc, 2023. "The causal effect of income on household energy transition: Evidence from old age pension eligibility in South Africa," Energy Economics, Elsevier, vol. 119(C).
    11. Liu, Wenling & Spaargaren, Gert & Heerink, Nico & Mol, Arthur P.J. & Wang, Can, 2013. "Energy consumption practices of rural households in north China: Basic characteristics and potential for low carbon development," Energy Policy, Elsevier, vol. 55(C), pages 128-138.
    12. Mensah, Justice Tei & Adu, George, 2015. "An empirical analysis of household energy choice in Ghana," Renewable and Sustainable Energy Reviews, Elsevier, vol. 51(C), pages 1402-1411.
    13. Pachauri, Shonali & Jiang, Leiwen, 2008. "The household energy transition in India and China," Energy Policy, Elsevier, vol. 36(11), pages 4022-4035, November.
    14. Kileber, Solange & Parente, Virginia, 2015. "Diversifying the Brazilian electricity mix: Income level, the endowment effect, and governance capacity," Renewable and Sustainable Energy Reviews, Elsevier, vol. 49(C), pages 1180-1189.
    15. Klege, Rebecca A. & Amuakwa-Mensah, Franklin & Visser, Martine, 2022. "Tenancy and energy choices in Rwanda. A replication and extension study," World Development Perspectives, Elsevier, vol. 26(C).
    16. van der Kroon, Bianca & Brouwer, Roy & van Beukering, Pieter J.H., 2013. "The energy ladder: Theoretical myth or empirical truth? Results from a meta-analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 20(C), pages 504-513.
    17. Lee, Lisa Yu-Ting, 2013. "Household energy mix in Uganda," Energy Economics, Elsevier, vol. 39(C), pages 252-261.
    18. Cheng, Chao-yo & Urpelainen, Johannes, 2014. "Fuel stacking in India: Changes in the cooking and lighting mix, 1987–2010," Energy, Elsevier, vol. 76(C), pages 306-317.
    19. Wassie, Yibeltal T. & Rannestad, Meley M. & Adaramola, Muyiwa S., 2021. "Determinants of household energy choices in rural sub-Saharan Africa: An example from southern Ethiopia," Energy, Elsevier, vol. 221(C).
    20. Rahut, Dil Bahadur & Behera, Bhagirath & Ali, Akhter & Marenya, Paswel, 2017. "A ladder within a ladder: Understanding the factors influencing a household's domestic use of electricity in four African countries," Energy Economics, Elsevier, vol. 66(C), pages 167-181.

    More about this item

    Keywords

    Household fuel choice; Panel data; Random effect generalized probit model; Urban China;
    All these keywords.

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hhs:gunwpe:0595. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jessica Oscarsson (email available below). General contact details of provider: https://edirc.repec.org/data/naiguse.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.