Behavioral and Experimental Economics for Policy Design in the Water-Energy-Food Nexus: A Systematic Review of Methods and Applications

Angelica De Fabrizio (), Felipe Micangeli and Nicole Bernoni
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Angelica De Fabrizio: Department of Economics and Law, Sapienza University of Rome
Felipe Micangeli: Department of Economics and Law, Sapienza University of Rome
Nicole Bernoni: ITA - Italian Trade Agency

Journal of Behavioral Economics for Policy, 2025, vol. 9, issue 2, 47-56

Abstract: Achieving universal access to safe water, reliable energy, and food security remains a global challenge, yet policy interventions often target these domains in isolation. While the Water-Energy-Food (WEF) Nexus provides a theoretical framework for resource integration, experimental evidence on behavioral interdependencies remains fragmented. This study conducts a systematic review of 37 experimental and behavioral economics articles evaluating interventions in developing and resource-scarce contexts to analyze methodological approaches and outcomes across the three sectors. Our findings reveal significant heterogeneity: Randomized Controlled Trials dominate the energy and food sectors, focusing primarily on technology adoption and subsidy effectiveness, whereas lab-in-the-field experiments are more prevalent in the water sector, emphasizing common-pool resource governance and collective action. Despite robust evidence that behavioral nudges and financial incentives boost short-term adoption and willingness to pay, the WEF Nexus remains tacit in experimental designs. Most studies treat inter-sectoral linkages as background conditions rather than central variables, missing potentially significant spillover effects between the three domains. We conclude that a transition toward "Nexus-aware" experimental designs is possible, utilizing joint metrics and longitudinal monitoring.

Keywords: Water-Energy-Food Nexus; behavioral economics; experimental economics; policy analysis (search for similar items in EconPapers)
Date: 2025
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