This paper studies the causal effect of providing information about climate change on individuals’ willingness to pay to offset carbon emissions in a randomized control trial. Receiving truthful information about ways to reduce CO2 emissions increases individuals’ willingness to pay for voluntary CO2 offsetting relative to the control group. Individuals’ responses vary depending on their sociodemographic characteristics and along a rich set of prior beliefs and concerns regarding climate change. In a follow-up survey, we study the endogenous information acquisition of survey participants and show individuals choose information that aligns with their views.

More on this topic

BFI Working Paper·Apr 15, 2025

Can Pollution Markets Work in Developing Countries? Experimental Evidence from India

Michael Greenstone, Rohini Pande, Nicholas Ryan, and Anant Sudarshan
Topics: Energy & Environment
BFI Working Paper·Mar 10, 2025

The Value of Clean Water: Experimental Evidence from Rural India

Fiona Burlig, Amir Jina, and Anant Sudarshan
Topics: Development Economics, Energy & Environment
BFI Working Paper·Jan 28, 2025

Drive Down the Cost: Learning by Doing and Government Policies in the Global EV Battery Industry

Panle Jia Barwick, Hyuk-soo Kwon, Shanjun Li Nahim, and Bin Zahur
Topics: Energy & Environment, Technology & Innovation