Env. & Dev. Econ. Research SeminarImperfect Knowledge, Information Provision and Behavior: Evidence from a Large-Scale Field Experiment to Encourage Resource ConservationSebastian Tonke
6. November 2019
Abstract: I show that imperfect knowledge about how to change one's outcomes is a severe obstacle to efficient behavior, but can be overcome by providing simple, low-cost information. In a natural field experiment among 14,796 customers to reduce residential water consumption in a severely water stressed country, customers of the national water utility receive a one-shot text message on their mobile phone with varying content. Messages providing previously unknown conservation strategies decrease consumption by 5.2 percent. This effect persists over eight months until rain season sets in. Two additional treatments that encourage customers to develop and act upon their own strategies are ineffective. They rule out that treatment effects are driven by behavioral mechanisms like salience, awareness of water scarcity or being asked to save water. Instead, the results and corroborating survey evidence suggest that customers lack knowledge on how to reduce consumption.
Zeit: 12:15 - 13.45 Uhr
Raum: 0079 VMP 5