IDEAS home Printed from https://ideas.repec.org/p/rff/dpaper/dp-22-15.html
   My bibliography  Save this paper

Learning How to Build Back Better through Clean Energy Policy Evaluation

Author

Listed:
  • Aldy, Joseph E.

    (Resources for the Future)

Abstract

The Infrastructure Investment and Jobs Act, the CHIPS and Science Act, and the Inflation Reduction Act authorized and appropriated unprecedented spending and tax expenditures to decarbonize the American economy. In the spirit of “build back better,” this paper examines how integrating evaluation in the design and implementation of these new clean energy policies can facilitate the learning necessary for policymakers to make policy better over time. It draws lessons from two case studies: (1) on institutionalizing evaluation based on the experience with regulatory review, and (2) on conducting evaluation based on the research literature assessing the 2009 Recovery Act’s clean energy programs. The paper identifies in recent legislation the programs and their characteristics amenable to various evaluation methodologies. The paper closes with recommendations for a clean energy program evaluation framework that would enable implementation of climate-oriented learning agendas under the Evidence-Based Policymaking Act.

Suggested Citation

  • Aldy, Joseph E., 2022. "Learning How to Build Back Better through Clean Energy Policy Evaluation," RFF Working Paper Series 22-15, Resources for the Future.
  • Handle: RePEc:rff:dpaper:dp-22-15
    as

    Download full text from publisher

    File URL: https://www.rff.org/documents/3504/WP_22-15.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Edward Miguel, 2021. "Evidence on Research Transparency in Economics," Journal of Economic Perspectives, American Economic Association, vol. 35(3), pages 193-214, Summer.
    2. Sabrina T. Howell, 2017. "Financing Innovation: Evidence from R&D Grants," American Economic Review, American Economic Association, vol. 107(4), pages 1136-1164, April.
    3. Meredith Fowlie & Michael Greenstone & Catherine Wolfram, 2018. "Do Energy Efficiency Investments Deliver? Evidence from the Weatherization Assistance Program," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 133(3), pages 1597-1644.
    4. David S. Lee & Thomas Lemieux, 2010. "Regression Discontinuity Designs in Economics," Journal of Economic Literature, American Economic Association, vol. 48(2), pages 281-355, June.
    5. Lisa A. Robinson & James K. Hammitt & Richard J. Zeckhauser, 2016. "Attention to Distribution in U.S. Regulatory Analyses," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 10(2), pages 308-328.
    6. Edward B. Barbier, 2020. "Greening the Post-pandemic Recovery in the G20," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 76(4), pages 685-703, August.
    7. Michael Greenstone & Richard Hornbeck & Enrico Moretti, 2010. "Identifying Agglomeration Spillovers: Evidence from Winners and Losers of Large Plant Openings," Journal of Political Economy, University of Chicago Press, vol. 118(3), pages 536-598, June.
    8. Anna Goldstein & Claudia Doblinger & Erin Baker & Laura Díaz Anadón, 2020. "Patenting and business outcomes for cleantech startups funded by the Advanced Research Projects Agency-Energy," Nature Energy, Nature, vol. 5(10), pages 803-810, October.
    9. Gabriel Chodorow-Reich, 2019. "Geographic Cross-Sectional Fiscal Spending Multipliers: What Have We Learned?," American Economic Journal: Economic Policy, American Economic Association, vol. 11(2), pages 1-34, May.
    10. Harrington, Winston, 2006. "Grading Estimates of the Benefits and Costs of Federal Regulation," RFF Working Paper Series dp-06-39, Resources for the Future.
    11. Joseph E. Aldy & Maximilian Auffhammer & Maureen Cropper & Arthur Fraas & Richard Morgenstern, 2022. "Looking Back at 50 Years of the Clean Air Act," Journal of Economic Literature, American Economic Association, vol. 60(1), pages 179-232, March.
    12. Maureen L Cropper & Richard D Morgenstern & Nicholas Rivers, 2018. "Policy Brief—Facilitating Retrospective Analysis of Environmental Regulations," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 12(2), pages 359-370.
    13. Atif Mian & Amir Sufi, 2012. "The Effects of Fiscal Stimulus: Evidence from the 2009 Cash for Clunkers Program," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 127(3), pages 1107-1142.
    14. Anna Goldstein & Claudia Doblinger & Erin Baker & Laura Díaz Anadón, 2020. "Author Correction: Patenting and business outcomes for cleantech startups funded by the Advanced Research Projects Agency-Energy," Nature Energy, Nature, vol. 5(11), pages 937-937, November.
    15. David Popp & Francesco Vona & Giovanni Marin & Ziqiao Chen, 2020. "The Employment Impact of Green Fiscal Push: Evidence from the American Recovery Act," NBER Working Papers 27321, National Bureau of Economic Research, Inc.
    16. Meredith Fowlie & Catherine Wolfram & Patrick Baylis & C Anna Spurlock & Annika Todd-Blick & Peter Cappers, 2021. "Default Effects And Follow-On Behaviour: Evidence From An Electricity Pricing Program [The Impact of Presumed Consent Legislation on Cadaveric Oorgan Donation: A Cross-country Study”]," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 88(6), pages 2886-2934.
    17. Dr. Sanya Carley, School of Public and Environmental Affairs, Indiana University & Sanya Carley, 2016. "Energy Programs of the American Recovery and Reinvestment Act of 2009," Review of Policy Research, Policy Studies Organization, vol. 33(2), pages 201-223, March.
    18. Sébastien Houde & Joseph E. Aldy, 2017. "Consumers' Response to State Energy Efficient Appliance Rebate Programs," American Economic Journal: Economic Policy, American Economic Association, vol. 9(4), pages 227-255, November.
    19. Austin, Wes & Heutel, Garth & Kreisman, Daniel, 2019. "School bus emissions, student health and academic performance," Economics of Education Review, Elsevier, vol. 70(C), pages 109-126.
    20. Joseph E. Aldy, 2020. "Carbon Tax Review and Updating: Institutionalizing an Act-Learn-Act Approach to U.S. Climate Policy," Review of Environmental Economics and Policy, University of Chicago Press, vol. 14(1), pages 76-94.
    21. Imbens,Guido W. & Rubin,Donald B., 2015. "Causal Inference for Statistics, Social, and Biomedical Sciences," Cambridge Books, Cambridge University Press, number 9780521885881.
    22. Kenneth Gillingham & Amelia Keyes & Karen Palmer, 2018. "Advances in Evaluating Energy Efficiency Policies and Programs," Annual Review of Resource Economics, Annual Reviews, vol. 10(1), pages 511-532, October.
    23. Joseph E. Aldy, 2013. "Policy Monitor A Preliminary Assessment of the American Recovery and Reinvestment Act's Clean Energy Package -super-1," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 7(1), pages 136-155, January.
    Full references (including those not matched with items on IDEAS)

    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. Cingano, Federico & Palomba, Filippo & Pinotti, Paolo & Rettore, Enrico, 2022. "Making Subsidies Work: Rules vs. Discretion," IZA Discussion Papers 15172, Institute of Labor Economics (IZA).
    2. David Popp & Francesco Vona & Myriam Grégoire-Zawilski & Giovanni Marin, 2022. "The Next Wave of Energy Innovation: Which Technologies? Which Skills?," CESifo Working Paper Series 9878, CESifo.
    3. Xingchi Shen & Yueming Lucy Qiu & Pengfei Liu & Anand Patwardhan, 2022. "The Effect of Rebate and Loan Incentives on Residential Heat Pump Adoption: Evidence from North Carolina," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 82(3), pages 741-789, July.
    4. Gilbert, Ben & LaRiviere, Jacob & Novan, Kevin, 2022. "Uncertainty and additionality in energy efficiency programs," Journal of Environmental Economics and Management, Elsevier, vol. 115(C).
    5. van den Heuvel, Matthias & Popp, David, 2023. "The role of venture capital and governments in clean energy: lessons from the first cleantech bubble," Energy Economics, Elsevier, vol. 124(C).
    6. Newell, Richard G. & Pizer, William A. & Raimi, Daniel, 2019. "U.S. federal government subsidies for clean energy: Design choices and implications," Energy Economics, Elsevier, vol. 80(C), pages 831-841.
    7. Andrew, Kevin & Majerbi, Basma & Rhodes, Ekaterina, 2022. "Slouching or speeding toward net zero? Evidence from COVID-19 energy-related stimulus policies in the G20," Ecological Economics, Elsevier, vol. 201(C).
    8. Steffen Andersen & Philippe d'Astous & Jimmy Martínez-Correa & Stephen H. Shore, 2018. "Responses to Savings Commitments: Evidence from Mortgage Run-offs," Cahiers de recherche / Working Papers 1, Institut sur la retraite et l'épargne / Retirement and Savings Institute.
    9. Trotta, Gianluca, 2020. "Assessing energy efficiency improvements and related energy security and climate benefits in Finland: An ex post multi-sectoral decomposition analysis," Energy Economics, Elsevier, vol. 86(C).
    10. Maria Coelho, 2019. "Fiscal Stimulus in a Monetary Union: Evidence from Eurozone Regions," IMF Economic Review, Palgrave Macmillan;International Monetary Fund, vol. 67(3), pages 573-617, September.
    11. Ben Gilbert & Jacob LaRiviere & Kevin Novan, 2019. "Additionality, Mistakes, and Energy Efficiency Investment," Working Papers 2019-01, Colorado School of Mines, Division of Economics and Business.
    12. Art B. Owen & Hal Varian, 2018. "Optimizing the tie-breaker regression discontinuity design," Papers 1808.07563, arXiv.org, revised Jul 2020.
    13. Kilian Huber, 2015. "The Persistence of a Banking Crisis," Discussion Papers 1532, Centre for Macroeconomics (CFM).
    14. Lauren Lanahan & Daniel Armanios, 2018. "Does More Certification Always Benefit a Venture?," Organization Science, INFORMS, vol. 29(5), pages 931-947, October.
    15. Hasan, Rana & Jiang, Yi & Rafols, Radine Michelle, 2021. "Place-based preferential tax policy and industrial development: Evidence from India’s program on industrially backward districts," Journal of Development Economics, Elsevier, vol. 150(C).
    16. Lim, Taekyoung & Guzman, Tatyana S. & Bowen, William M., 2020. "Rhetoric and Reality: Jobs and the Energy Provisions of the American Recovery and Reinvestment Act," Energy Policy, Elsevier, vol. 137(C).
    17. Özler, Berk & Çelik, Çiğdem & Cunningham, Scott & Cuevas, P. Facundo & Parisotto, Luca, 2021. "Children on the move: Progressive redistribution of humanitarian cash transfers among refugees," Journal of Development Economics, Elsevier, vol. 153(C).
    18. Sebastian Calonico & Matias D. Cattaneo & Max H. Farrell & Rocío Titiunik, 2019. "Regression Discontinuity Designs Using Covariates," The Review of Economics and Statistics, MIT Press, vol. 101(3), pages 442-451, July.
    19. Damon Jones & Ioana Marinescu, 2022. "The Labor Market Impacts of Universal and Permanent Cash Transfers: Evidence from the Alaska Permanent Fund," American Economic Journal: Economic Policy, American Economic Association, vol. 14(2), pages 315-340, May.
    20. Singhal, Puja & Pahle, Michael & Kalkuhl, Matthias & Levesque, Antoine & Sommer, Stephan & Berneiser, Jessica, 2022. "Beyond good faith: Why evidence-based policy is necessary to decarbonize buildings cost-effectively in Germany," Energy Policy, Elsevier, vol. 169(C).

    More about this item

    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:rff:dpaper:dp-22-15. 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: Resources for the Future (email available below). General contact details of provider: https://edirc.repec.org/data/rffffus.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.