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In this study, we investigate the impact of awareness levels about climate change on renewable energy consumption (REC). Ostensibly, we explore whether the awareness level influences willingness to pay more for renewable energy. Using a time series data set, we adopt Autoregressive distributed lag (ARDL) analysis to tackle non-stationarity and endogeneity issues. We find that a 1% increase in awareness level would lead to an increase in REC by 0.27%. An increase of 1% increase average crude oil price would lead to a rise in REC by 0.002%. Regarding control variables, the climate extreme index (ce), environmental stringency index (eer), and education have a significant impact on REC. However, the gross domestic product (GDP), investment in renewable energy, and Climate Policy Uncertainty Index do not have a statistically significant impact on REC. Seeking an answer to whether we are willing to pay more for cleaner energy if we are aware of climate change, we conduct an extensive survey in Texas among college students to measure their willingness to pay for renewable energy. From the survey analysis, we find that at least 80% of students are aware of environmental issues and renewable energy, 87% believe the state should educate citizens about climate change, renewable energy, and environmental protection, and around 50% want to pay up to $0.20/gallon more for gasoline. Furthermore, we use logistic analysis to confirm a positive impact on their awareness level and willingness to pay for renewable energy. Finally, we analyze the Global Trade Analysis Project (GTAP) to analyze the economic and environmental impacts of increased renewable energy consumption from a demand shock.
Presenter(s)
Mohammad Ismayl Al Masud, Texas Tech University
The Impact of the Adult Awareness about Climate Change on Renewable Energy Consumption in the United States
Category
Volunteer Session Abstract Submission
Description
Session: [042] ISSUES IN CLIMATE CHANGE
Date: 7/2/2023
Time: 2:30 PM to 4:15 PM
Date: 7/2/2023
Time: 2:30 PM to 4:15 PM