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Regional patterns of U.S. household carbon emissions

Climatic Change volume 99, pages 47–63 (2010)Cite this article

Abstract

Market-based policies to address fossil fuel-related externalities including climate change typically operate by raising the price of those fuels. Increases in energy prices have important consequences for a typical U.S. household that spent almost $4,000 per year on electricity, fuel oil, natural gas, and gasoline in 2005. A key question for policymakers is how these consequences vary over different regions and subpopulations across the country—especially as adjustment and compensation programs are designed to protect more vulnerable regions. To answer this question, we use non-publicly available data from the U.S. Consumer Expenditure Survey over the period 1984–2000 to estimate long-run geographic variation in household use of electricity, fuel oil, natural gas, and gasoline, as well as the associated incidence of a $10 per ton tax on carbon dioxide (ignoring behavioral response). We find substantial variation: incidence from the tax range from $97 dollars per year per household in New York County, New York to $235 per year per household in Tensas Parish, Louisiana. This variation can be explained by differences in energy use, carbon intensity of electricity generation, and electricity regulation.

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Authors and Affiliations

  1. Resources for the Future, Washington, DC, 20036, USA

    William Pizer & James N. Sanchirico

  2. Department of Environmental Science and Policy, University of California, Davis, CA, 95616, USA

    James N. Sanchirico

  3. Food Safety Program, Emerging Pathogens Institute, University of Florida, Gainesville, FL, USA

    Michael Batz

Authors
  1. William Pizer
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  2. James N. Sanchirico
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  3. Michael Batz
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Corresponding author

Correspondence to James N. Sanchirico.

Additional information

“One issue for U.S. lawmakers is that the impact of greenhouse gas restrictions would vary by region...” in “Climate Change Debate Hinges On Economics” Washington Post, July 15, 2007.

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Pizer, W., Sanchirico, J.N. & Batz, M. Regional patterns of U.S. household carbon emissions. Climatic Change 99, 47–63 (2010). https://doi.org/10.1007/s10584-009-9637-8

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  • DOI: https://doi.org/10.1007/s10584-009-9637-8

Keywords

  • Carbon Emission
  • Energy Price
  • Electricity Price
  • Carbon Intensity
  • Climate Change Policy