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The Effect of House Energy Efficiency Costs on the Participation Rate and Investment Amount of Lower-Income Households

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  • Drivas, Kyriakos
  • Rozakis, Stelios
  • Xesfingi, Sofia

Abstract

We examine the largest house energy efficiency retrofit support program in Greece that ran during 2011-2015 and approximately fifty thousand households participated. We take advantage of an exogenous change that occurred while the program was running. This change substantially increased the subsidy rate for lower-income households. We find that this effective cost reduction increased the participation rate (extensive margin) and investment amount (intensive margin) of these lower-income households.

Suggested Citation

  • Drivas, Kyriakos & Rozakis, Stelios & Xesfingi, Sofia, 2018. "The Effect of House Energy Efficiency Costs on the Participation Rate and Investment Amount of Lower-Income Households," MPRA Paper 86590, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:86590
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    More about this item

    Keywords

    Energy efficiency retrofits; subsidy; exogenous change; participation rate; household investment.;
    All these keywords.

    JEL classification:

    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis

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