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Do Environmental Messages Work on the Poor? Experimental Evidence from Brazilian Favelas

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  • Chantal Toledo

Abstract

In developed countries, the combined use of monetary and nonmonetary incentives, such as subsidies and social norms, has been shown to encourage the adoption of energy-saving technologies and conservation behaviors. However, little is known about the effect of these approaches in developing countries, which account for most of the growth in energy demand and greenhouse gas emissions. Using a randomized experiment conducted in 17 favelas (shantytowns) in Rio de Janeiro, Brazil, this paper investigates the interplay between three levels of monetary incentives and an environmental persuasion communication on the take-up of an energy-efficient lightbulb (a light-emitting diode or, LED). On average, the persuasive communication significantly increases LED take-up by 6 percentage points (a 13% increase). This effect is driven by a 13 percentage point (20%) increase in take-up at the middle price. Richer participants and females respond the most to the communication.

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  • Chantal Toledo, 2016. "Do Environmental Messages Work on the Poor? Experimental Evidence from Brazilian Favelas," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 3(1), pages 37-83.
    • Handle: RePEc:ucp:jaerec:doi:10.1086/683803
    DOI: 10.1086/683803
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    Cited by:

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    2. Takahashi, Ryo, 2021. "How to stimulate environmentally friendly consumption: Evidence from a nationwide social experiment in Japan to promote eco-friendly coffee," Ecological Economics, Elsevier, vol. 186(C).
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    4. Gosnell, Greer, 2018. "Communicating resourcefully: a natural field experiment on environmental framing and cognitive dissonance in going paperless," LSE Research Online Documents on Economics 89815, London School of Economics and Political Science, LSE Library.
    5. Joseph,George & Ayling,Sophie Charlotte Emi & Miquel-Florensa,Pepita & Bejarano,Hernán D. & Cardona,Alejandra Quevedo, 2021. "Behavioral Insights in Infrastructure Sectors : A Survey," Policy Research Working Paper Series 9704, The World Bank.
    6. Yokoo, Hide-Fumi & Harada, Tetsuya, 2023. "What makes green persuasion effective? Evidence from a community-financed sanitation program in Indonesia," Resource and Energy Economics, Elsevier, vol. 73(C).
    7. He, Shutong & Blasch, Julia & van Beukering, Pieter, 2022. "How does information on environmental emissions influence appliance choice? The role of values and perceived environmental impacts," Energy Policy, Elsevier, vol. 168(C).
    8. Gosnell, Greer K., 2018. "Communicating Resourcefully: A Natural Field Experiment on Environmental Framing and Cognitive Dissonance in Going Paperless," Ecological Economics, Elsevier, vol. 154(C), pages 128-144.
    9. Greer Gosnell, 2017. "Be who you ought or be who you are? Environmental framing and cognitive dissonance in going paperless," GRI Working Papers 269, Grantham Research Institute on Climate Change and the Environment.

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