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Behavioural spillovers unpacked: estimating the side effects of social norm nudges

Author

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  • Picard, Julien
  • Banerjee, Sanchayan
Abstract
Fighting the climate crisis requires changing many aspects of our consumption habits. Previous studies show that a first climate-friendly action can lead to another. Does deciding not to eat meat increase our willingness to do more for the environment? Can encouraging vegetarianism alter this willingness? Using an online randomised control trial, we study the side effects of a social norm nudge promoting vegetarianism on environmental donations. We develop an experimental design to estimate these side effects and a utility maximisation framework to understand their mechanisms. Using an instrumental variable, we find that choosing not to eat meat increases donations to pro-environmental charities. We use machine learning to find that the social norm nudge crowds out donations from the population segment prone to choosing vegetarian food after seeing the nudge. However, the nudge led another group to make less carbon-intensive food choices without affecting their donations. Our results suggest that whilst social norm nudges are effective on specific population segments, they can also reduce the willingness of some groups to do more.

Suggested Citation

  • Picard, Julien & Banerjee, Sanchayan, 2023. "Behavioural spillovers unpacked: estimating the side effects of social norm nudges," LSE Research Online Documents on Economics 120566, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:120566
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    File URL: http://eprints.lse.ac.uk/120566/
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    References listed on IDEAS

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    More about this item

    Keywords

    social norm; meat; climate change; behavioural spillovers; side effects;
    All these keywords.

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • Z10 - Other Special Topics - - Cultural Economics - - - General

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