A typical consumer underestimates the benefits of future energy savings and underinvests in energy efficiency, relative to a description of the socially optimal level of energy efficiency. To alleviate this energy-efficiency gap problem, various programs have been implemented. In recent years, many governments have started providing consumers with subsidies on the purchases of eco-friendly products such as hybrid cars and energy efficient appliances. This book conducts a comprehensive analysis of the environmental subsidy programs conducted in Japan and examines their impacts on consumer product selection, consumer product use, and environmental outcome. The book also proposes recommendations for future environmental and industrial policies.
The book's empirical findings will be of interest to those who are researching on and policymakers of environmental and industrial policies.
Shigeru Matsumoto is Professor at the Department of Economics, Aoyama Gakuin University. He studied on Heiwa Nakajima Foundation Scholarship at North Carolina State University, where he earned his PhD in Economics. His research interest lies in the applied welfare economics, with particular focus on consumer behaviour analysis.
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