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Do green tech policies need to pass the consumer test?: The case of ethanol fuel

  • Collantes, Gustavo
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    This paper investigates a question sometimes overlooked by policymakers and regulators, namely the need of a robust value proposition for green technologies to successfully enter the market. In particular, results from consumer choice models are used to develop measures of consumer acceptance of ethanol blends and flex-fuel vehicles is studied, a fuel-vehicle system that has received attention in a variety of federal and state policies. The analysis suggests that, under projected fuel prices and given the characteristics of the competing vehicle-fuel systems, consumers are unlikely to substitute ethanol blends for gasoline. The analysis also highlights the need for further research in this area.

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    File URL: http://www.sciencedirect.com/science/article/B6V7G-4YTN40V-1/2/14ebb064fea1cbf9ab83cb9951287f75
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    Article provided by Elsevier in its journal Energy Economics.

    Volume (Year): 32 (2010)
    Issue (Month): 6 (November)
    Pages: 1235-1244

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    Handle: RePEc:eee:eneeco:v:32:y:2010:i:6:p:1235-1244
    Contact details of provider: Web page: http://www.elsevier.com/locate/eneco

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    4. Petrolia, Daniel R. & Bhattacharjee, Sanjoy & Hudson, Darren & Herndon, Cary W., 2010. "Do Americans want ethanol? A comparative contingent-valuation study of willingness to pay for E-10 and E-85," Energy Economics, Elsevier, vol. 32(1), pages 121-128, January.
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    6. Brownston, David & Bunch, David S. & Train, Kenneth, 1999. "Joint mixed logit models of stated and revealed preferences for alternative-fuel vehicles," University of California Transportation Center, Working Papers qt7rf7s3nx, University of California Transportation Center.
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    8. Turrentine, Tom & Kurani, Kenneth S, 2007. "Car buyers and fuel economy?," Institute of Transportation Studies, Working Paper Series qt56x845v4, Institute of Transportation Studies, UC Davis.
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    14. Collantes, Gustavo O, 2007. "Incorporating stakeholders' perspectives into models of new technology diffusion: The case of fuel-cell vehicles," Institute of Transportation Studies, Working Paper Series qt9bm1w968, Institute of Transportation Studies, UC Davis.
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