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Economic Impacts of a Supporting Scheme on Domestic Energy Consumption in Bolivia: A Quasi-experimental Approach

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  • Nogales, Ricardo
  • Alcaraz, Andrea
  • Lopez, David
  • Ravillard, Pauline
  • Ballón, Sergio
  • Carvalho Metanias Hallack, Michelle

Abstract

The Bolivian government fostered an electricity cost supporting scheme to attenuate the effect of the nationwide full lockdown on domestic consumption during the COVID-19 pandemic. This paper evaluates its effect on the levels of energy consumption during lockdown, and the monetary savings it implied for beneficiaries. It finds that the absolute gains of the scheme are concentrated among better-off households as measured by income or years of schooling. However, the relative gains of the supporting scheme are clearly concentrated in the worse-off part of the population.

Suggested Citation

  • Nogales, Ricardo & Alcaraz, Andrea & Lopez, David & Ravillard, Pauline & Ballón, Sergio & Carvalho Metanias Hallack, Michelle, 2023. "Economic Impacts of a Supporting Scheme on Domestic Energy Consumption in Bolivia: A Quasi-experimental Approach," IDB Publications (Working Papers) 12877, Inter-American Development Bank.
  • Handle: RePEc:idb:brikps:12877
    DOI: http://dx.doi.org/10.18235/0004924
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    References listed on IDEAS

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    More about this item

    Keywords

    Electricity subsidy; Household consumption and behaviour; Redistributive Effects;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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