Impact of carbon prices on household behaviors in housing transactions

Lawrence Kryzanowski, Tingting Wu and Yanting Wu

International Review of Financial Analysis, 2025, vol. 104, issue PA

Abstract: This paper studies how greenhouse gas emissions (GHGe) mitigation policy (i.e., 2018 Greenhouse Gas Pollution Pricing Act or GHGPPA implemented by the Government of Canada) impacts sellers' and buyers' behaviors in housing transactions due to their different reactions to the Act's effect on housing transactions from increased carbon-price awareness. We find no net effect on selling prices after the GHGPPA although sellers (buyers) with greater carbon-price awareness list houses higher (value houses lower). The GHGPPA decreases the house-sale likelihood and lengthens the selling time in carbon-impacted areas. Our results are not driven by emission-intensive fuel usage as house heating inputs. (100 Words).

Keywords: Greenhouse gas mitigation; Buyer-seller behavior; Housing transactions; Carbon-price implementation (search for similar items in EconPapers)
JEL-codes: D12 G51 Q51 Q52 R28 R30 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1057521925003096
Full text for ScienceDirect subscribers only

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:eee:finana:v:104:y:2025:i:pa:s1057521925003096

DOI: 10.1016/j.irfa.2025.104222

Access Statistics for this article

International Review of Financial Analysis is currently edited by B.M. Lucey

More articles in International Review of Financial Analysis from Elsevier
Bibliographic data for series maintained by Catherine Liu ().