Conference Agenda
Overview and details of the sessions of this conference. Please select a date or location to show only sessions at that day or location. Please select a single session for detailed view (with abstracts and downloads if available).
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Daily Overview |
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Advances in Environmental Valuation and Choice Modelling Location: D-106 Session Chair: Fredrik Carlsson, University of Gothenburg | |
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Impact of Flight Emissions Information on Consumer Demand: Evidence from the US Airline Industry 1: Resources for the Future, United States of America; 2: Ludwig Maximilian University of Munich Flight-booking websites, such as Google Flights and Skyscanner, increasingly display estimated CO2 emissions for flight itineraries, but little is known about whether this information affects booking decisions. We study how emissions disclosure affects consumers’ flight choices using US domestic flight data from 2018 to 2022 and a discrete-choice model and find that it increases consumers’ sensitivity to flight emissions. In our preferred specification, the absolute value of the emissions elasticity of demand increases from 0.23 in the predisclosure period to 0.28 in the period following the first disclosure. Expressed in willingness-to-pay (WTP) terms, the implied WTP for emissions reductions is $33 per ton higher in the postdisclosure period. Counterfactual simulations suggest that mandating emissions disclosure across all flight-booking platforms would further strengthen consumers’ responsiveness to emissions information. | |