Working Paper: NBER ID: w31630
Authors: Megan R. Bailey; David P. Brown; Blake C. Shaffer; Frank A. Wolak
Abstract: We use a field experiment to measure the effectiveness of financial incentives and moral suasion “nudges” to shift the timing of electric vehicle (EV) charging. We find EV owners respond strongly to financial incentives, while nudges have no statistically discernible effect. When financial incentives are removed, charge timing reverts to pre-intervention behavior, showing no evidence of habit formation and reinforcing our finding that “money matters”. Our charge price responsiveness estimate is an order of magnitude larger than typical household electricity consumption elasticities. This result highlights the greater flexibility of EV charging over other forms of residential electricity demand.
Keywords: Electric Vehicles; Financial Incentives; Moral Suasion; Charging Behavior; Field Experiment
JEL Codes: Q4; Q41; Q5; R48
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Financial incentives removed (J32) | Charging behavior reverts to preintervention levels (C92) |
| Financial incentives (M52) | Charge timing (L90) |
| Financial incentives (M52) | EV charging behavior (D16) |
| Moral suasion nudges (E71) | EV charging behavior (D16) |