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Social Networks and Renewable Energy Technology Adoption: Empirical Evidence from Biogas Adoption in China

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  • He Pan

    (The West Center for Economics Research, Southwestern University of Finance and Economics, Chengdu, China)

  • Stefania Lovo

    (Department of Economics, University of Reading)

  • Marcella Veronesi

    (Department of Technology, Management and Economics, Technical University of Denmark, and Department of Economics, University of Verona, Italy)

Abstract

We provide novel empirical evidence on the association between social networks and the adoption of renewable energy technology. We distinguish between two main transmission mechanisms through which social networks can affect renewable energy technology adoption: information diffusion and social influence. Using data primarily collected from rural China on biogas adoption, we find that both mechanisms are at work. In addition, we find that information spreads through trusted network members, such as friends and family, while social influence is mainly exercised by government officials. Government officials are more likely to promote the adoption of technology by leading by example rather than by spreading information.

Suggested Citation

  • He Pan & Stefania Lovo & Marcella Veronesi, 2021. "Social Networks and Renewable Energy Technology Adoption: Empirical Evidence from Biogas Adoption in China," Economics Discussion Papers em-dp2021-19, Department of Economics, University of Reading.
    • Handle: RePEc:rdg:emxxdp:em-dp2021-19
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    Cited by:

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    2. Xiaojing Li & Xianli Xia & Jiazhen Ren, 2022. "Can the Participation in Quality Certification of Agricultural Products Drive the Green Production Transition?," IJERPH, MDPI, vol. 19(17), pages 1-16, September.
    3. Jinxing Wang & Wanming Li & Shamsheer ul Haq & Pomi Shahbaz, 2023. "Adoption of Renewable Energy Technology on Farms for Sustainable and Efficient Production: Exploring the Role of Entrepreneurial Orientation, Farmer Perception and Government Policies," Sustainability, MDPI, vol. 15(7), pages 1-20, March.
    4. Meles, Tensay Hadush & Ryan, Lisa, 2022. "Adoption of renewable home heating systems: An agent-based model of heat pumps in Ireland," Renewable and Sustainable Energy Reviews, Elsevier, vol. 169(C).
    5. Foroughi, Behzad & Nhan, Pham Viet & Iranmanesh, Mohammad & Ghobakhloo, Morteza & Nilashi, Mehrbakhsh & Yadegaridehkordi, Elaheh, 2023. "Determinants of intention to use autonomous vehicles: Findings from PLS-SEM and ANFIS," Journal of Retailing and Consumer Services, Elsevier, vol. 70(C).
    6. Zhao Xin-gang & Wang Wei & Hu Shuran & Lu Wenjie, 2023. "How to Promote the Application of Biogas Power Technology: A Perspective of Incentive Policy," Energies, MDPI, vol. 16(4), pages 1-11, February.

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    More about this item

    Keywords

    Social networks; social influence; information diffusion; renewable energy; biogas; China;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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