Advanced Search
MyIDEAS: Login to save this article or follow this journal

The 'neighbor effect': Simulating dynamics in consumer preferences for new vehicle technologies

Contents:

Author Info

  • Mau, Paulus
  • Eyzaguirre, Jimena
  • Jaccard, Mark
  • Collins-Dodd, Colleen
  • Tiedemann, Kenneth
Registered author(s):

    Abstract

    Understanding consumer behaviour is essential in designing policies that efficiently increase the uptake of clean technologies over the long-run. Expert opinion or qualitative market analyses have tended to be the sources of this information. However, greater scrutiny on governments increasingly demands the use of reliable and credible evidence to support policy decisions. While discrete choice research and modeling techniques have been applied to estimate consumer preferences for technologies, these methods often assume static preferences. This study builds on the application of discrete choice research and modeling to capture dynamics in consumer preferences. We estimate Canadians' preferences for new vehicle technologies under different market assumptions, using responses from two national surveys focused on hybrid gas-electric vehicles and hydrogen fuel cell vehicles. The results support the relevance of a range of vehicle attributes beyond the purchase price in shaping consumer preferences towards clean vehicle technologies. They also corroborate our hypothesis that the degree of market penetration of clean vehicle technologies is an influence on people's preferences ('the neighbor effect'). Finally, our results provide behavioural parameters for the energy-economy model CIMS, which we use here to show the importance of including consumer preference dynamics when setting policies to encourage the uptake of clean technologies.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.sciencedirect.com/science/article/B6VDY-4SVWG01-1/2/2b59bab824e6cb7111b1567263184222
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by Elsevier in its journal Ecological Economics.

    Volume (Year): 68 (2008)
    Issue (Month): 1-2 (December)
    Pages: 504-516

    as in new window
    Handle: RePEc:eee:ecolec:v:68:y:2008:i:1-2:p:504-516

    Contact details of provider:
    Web page: http://www.elsevier.com/locate/ecolecon

    Related research

    Keywords: HEV HFCV Stated preferences DCM Consumer preference dynamics;

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Kenneth Train, 2003. "Discrete Choice Methods with Simulation," Online economics textbooks, SUNY-Oswego, Department of Economics, number emetr2, Spring.
    2. Roberts, James A. & Bacon, Donald R., 1997. "Exploring the Subtle Relationships between Environmental Concern and Ecologically Conscious Consumer Behavior," Journal of Business Research, Elsevier, vol. 40(1), pages 79-89, September.
    3. Horne, Matt & Jaccard, Mark & Tiedemann, Ken, 2005. "Improving behavioral realism in hybrid energy-economy models using discrete choice studies of personal transportation decisions," Energy Economics, Elsevier, vol. 27(1), pages 59-77, January.
    4. Hensher, David A. & Stopher, Peter R. & Louviere, Jordan J., 2001. "An exploratory analysis of the effect of numbers of choice sets in designed choice experiments: an airline choice application," Journal of Air Transport Management, Elsevier, vol. 7(6), pages 373-379.
    5. Brownstone, David & Bunch, David S. & Train, Kenneth, 2000. "Joint mixed logit models of stated and revealed preferences for alternative-fuel vehicles," Transportation Research Part B: Methodological, Elsevier, vol. 34(5), pages 315-338, June.
    6. Brownstone, David & Train, Kenneth, 1999. "Forecasting new product penetration with flexible substitution patterns," University of California Transportation Center, Working Papers qt1j6814b3, University of California Transportation Center.
    7. Train, Kenneth, 1985. "Discount rates in consumers' energy-related decisions: A review of the literature," Energy, Elsevier, vol. 10(12), pages 1243-1253.
    8. Mark K. Jaccard & John Nyboer & Crhis Bataille & Bryn Sadownik, 2003. "Modeling the Cost of Climate Policy: Distinguishing Between Alternative Cost Definitions and Long-Run Cost Dynamics," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 49-73.
    9. DeShazo, J. R. & Fermo, German, 2002. "Designing Choice Sets for Stated Preference Methods: The Effects of Complexity on Choice Consistency," Journal of Environmental Economics and Management, Elsevier, vol. 44(1), pages 123-143, July.
    10. Fujii, Satoshi & Gärling, Tommy, 2003. "Application of attitude theory for improved predictive accuracy of stated preference methods in travel demand analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 37(4), pages 389-402, May.
    11. Jaccard, Mark & Murphy, Rose & Rivers, Nic, 2004. "Energy-environment policy modeling of endogenous technological change with personal vehicles: combining top-down and bottom-up methods," Ecological Economics, Elsevier, vol. 51(1-2), pages 31-46, November.
    12. Bunch, David S. & Bradley, Mark & Golob, Thomas F. & Kitamura, Ryuichi & Occhiuzzo, Gareth P., 1993. "Demand for clean-fuel vehicles in California: A discrete-choice stated preference pilot project," Transportation Research Part A: Policy and Practice, Elsevier, vol. 27(3), pages 237-253, May.
    13. Peterson, R.A. & Balasubramanian, S. & Bronnenberg, B.J.J.A.M., 1997. "Exploring the implications of the internet for consumer marketing," Open Access publications from Tilburg University urn:nbn:nl:ui:12-339976, Tilburg University.
    14. Nic Rivers & Mark Jaccard, 2005. "Combining Top-Down and Bottom-Up Approaches to Energy-Economy Modeling Using Discrete Choice Methods," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 83-106.
    15. Hensher, David & Louviere, Jordan & Swait, Joffre, 1998. "Combining sources of preference data," Journal of Econometrics, Elsevier, vol. 89(1-2), pages 197-221, November.
    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 in new window

    Cited by:
    This item has more than 25 citations. To prevent cluttering this page, these citations are listed on a separate page.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:68:y:2008:i:1-2:p:504-516. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

    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 references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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