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Climate Activism Favors Pro-environmental Consumption

Author

Listed:
  • Marini, A. Marco
  • Nocito, Samuel
Abstract
We investigate whether climate activism favors pro-environmental consumption by examining the impact of Fridays for Future (FFF) protests in Italy on second-hand automobile transactions in the strike-affected areas. Leveraging data on 10 million automobile transactions occurring before and after FFF, we exploit rainfall on the day of the events as exogenous source of attendance variation. Our findings reveal that local participation to the events is associated with a reduction in the per capita CO2 emissions of purchased cars, an uptick in the market share of low-emission vehicles and a corresponding decrease in the market share of high-emission counterparts. Notably, we uncover heterogeneous effects across gender and age groups. Results are primarily driven by a rise in the purchase of petrol cars, with electric cars contributing to a lesser extent, thereby displacing the demand for diesel vehicles. This evidence indicates substitution effects between goods prospectively subject to more stringent environmental regulations toward those obeying milder restrictions. The study provides valuable insights into the mechanisms underlying individuals’ consumption choices under the influence of social protests.

Suggested Citation

  • Marini, A. Marco & Nocito, Samuel, 2023. "Climate Activism Favors Pro-environmental Consumption," FEEM Working Papers 338816, Fondazione Eni Enrico Mattei (FEEM).
  • Handle: RePEc:ags:feemwp:338816
    DOI: 10.22004/ag.econ.338816
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    References listed on IDEAS

    as
    1. Andreas Madestam & Daniel Shoag & Stan Veuger & David Yanagizawa-Drott, 2013. "Do Political Protests Matter? Evidence from the Tea Party Movement," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 128(4), pages 1633-1685.
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    4. Aaron R. Brough & James E. B. Wilkie & Jingjing Ma & Mathew S. Isaac & David Gal, 2016. "Is Eco-Friendly Unmanly? The Green-Feminine Stereotype and Its Effect on Sustainable Consumption," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 43(4), pages 567-582.
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    6. George A. Akerlof & Rachel E. Kranton, 2000. "Economics and Identity," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 115(3), pages 715-753.
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    8. Goodman-Bacon, Andrew, 2021. "Difference-in-differences with variation in treatment timing," Journal of Econometrics, Elsevier, vol. 225(2), pages 254-277.
    9. Daniel Hungerman & Vivek Moorthy, 2023. "Every Day Is Earth Day: Evidence on the Long-Term Impact of Environmental Activism," American Economic Journal: Applied Economics, American Economic Association, vol. 15(1), pages 230-258, January.
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    More about this item

    Keywords

    Consumer/Household Economics; Environmental Economics and Policy;

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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