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Beyond Monetary Barriers to Electric Vehicle Adption: Evidence from Observed Usage of Private and Shared Cars

Author

Listed:
  • Wolfgang Habla

    (ZEW – Leibniz Centre for European Economic Research)

  • Vera Huwe

    (ZEW – Leibniz Centre for European Economic Research)

  • Martin Kesternich

    (University of Kassel)

Abstract

We use car-level micro data to provide empirical evidence on the usage of conventional and electric vehicles (EVs) in private and car sharing fleets in Germany. We shed light on both monetary and non-monetary barriers to EV adoption and usage by exploiting the feature that variable costs are identical for shared vehicles but different for private car owners across engine types. While drivers respond to monetary incentives when using conventional cars, this does not hold for EVs. We find that EVs are, on average, driven shorter distances than conventional vehicles, both in terms of annual and single-day mileage, even if costs are identical. We also document that car sharing intensifies the usage of conventional cars but not that of EVs.

Suggested Citation

  • Wolfgang Habla & Vera Huwe & Martin Kesternich, 2020. "Beyond Monetary Barriers to Electric Vehicle Adption: Evidence from Observed Usage of Private and Shared Cars," MAGKS Papers on Economics 202028, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    • Handle: RePEc:mar:magkse:202028
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    File URL: http://www.uni-marburg.de/fb02/makro/forschung/magkspapers/paper_2020/28-2020_habla.pdf
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    References listed on IDEAS

    as
    1. Sorrell, Steve & Dimitropoulos, John, 2008. "The rebound effect: Microeconomic definitions, limitations and extensions," Ecological Economics, Elsevier, vol. 65(3), pages 636-649, April.
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    3. Lucas W. Davis, 2019. "How much are electric vehicles driven?," Applied Economics Letters, Taylor & Francis Journals, vol. 26(18), pages 1497-1502, October.
    4. Zachary A. Needell & James McNerney & Michael T. Chang & Jessika E. Trancik, 2016. "Potential for widespread electrification of personal vehicle travel in the United States," Nature Energy, Nature, vol. 1(9), pages 1-7, September.
    5. Langbroek, Joram H.M. & Cebecauer, Matej & Malmsten, Jon & Franklin, Joel P. & Susilo, Yusak O. & Georén, Peter, 2019. "Electric vehicle rental and electric vehicle adoption," Research in Transportation Economics, Elsevier, vol. 73(C), pages 72-82.
    6. Jensen, Anders Fjendbo & Mabit, Stefan Lindhard, 2017. "The use of electric vehicles: A case study on adding an electric car to a household," Transportation Research Part A: Policy and Practice, Elsevier, vol. 106(C), pages 89-99.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Huwe, Vera & Gessner, Johannes, 2020. "Are there rebound effects from electric vehicle adoption? Evidence from German household data," ZEW Discussion Papers 20-048, ZEW - Leibniz Centre for European Economic Research.

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    More about this item

    Keywords

    Electric vehicles; internal combustion engine vehicles; barriers to adoption; cruising range; driving patterns; car sharing; range limitations; range anxiety;
    All these keywords.

    JEL classification:

    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

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