Energy Efficiency

I think one of the most important tests of behavioral economics will arrive in the next few years, as we attempt to persuade consumers to improve energy efficiency in the home. Just imagine if, instead of installing granite on every kitchen countertop, we'd instead spent that money on better window seals and insulation. Of course, if people were rational agents, we wouldn't need cleverly constructed "choice environments," since the vast majority of efficiency improvements pay for themselves with