Renewable Energy Investment Decisions under Policy Risk: An Adaptive Conjoint Analysis (ACA) Approach

Sonja Lüthi and Rolf Wüstenhagen
Additional contact information
Sonja Lüthi: University of St. Gallen
Rolf Wüstenhagen: University of St. Gallen

Chapter Chapter Three in Cross-Sector Leadership for the Green Economy, 2011, pp 37-52 from Palgrave Macmillan

Abstract: Abstract Governments often provide assistance to firms, especially energy-efficiency and renewable-energy businesses (Marcus, Anderson, Cohen, and Sutliffe, 2010). For example, in the 1970s the U.S. federal government offered subsidies to firms that developed solar panels and tax credits to consumers who purchased these products (Marcus, 1992). There have been a host of such programs, including the 2009 Economic Stimulus Act, which allocated more than $27 billion in direct and indirect aid to energy-efficiency and renewable-energy businesses (See Table 4.1). The government, for example, has provided tax credits to firms producing wind power, enabling them to sell more products and services, or sell them sooner, than otherwise would be economically feasible. Past research suggests that managers in energy efficiency and renewable energy businesses often are the beneficiaries of government policies. By making substitute products and services less attractive, public policies such as mandated performance standards, taxes, and other programs lift public awareness and increase interest in the products and service that energy efficiency and renewable energy businesses offer (Gale & Buchholz, 1987; Russo, 2001; Sine, Haveman, & Tolbert, 2005).

Keywords: Venture Capitalist; Attribute Level; Conjoint Analysis; Policy Risk; Administrative Process (search for similar items in EconPapers)
Date: 2011
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-137-01589-1_3

Ordering information: This item can be ordered from
http://www.palgrave.com/9781137015891

DOI: 10.1057/9781137015891_3

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().