How Do Consumers Respond to Price Complexity? Experimental Evidence from the Power Sector
Last registered on February 21, 2020

Pre-Trial

Trial Information
General Information
Title
How Do Consumers Respond to Price Complexity? Experimental Evidence from the Power Sector
RCT ID
AEARCTR-0005438
Initial registration date
February 20, 2020
Last updated
February 21, 2020 11:53 AM EST
Location(s)
Primary Investigator
Affiliation
Other Primary Investigator(s)
PI Affiliation
Additional Trial Information
Status
Completed
Start date
2015-06-01
End date
2018-03-01
Secondary IDs
Abstract
This study will provide experimental evidence on dynamic pricing in the power sector based on data from a large, western utility. The focus of the experiment is the effects of time-of-use pricing and event-based pricing when offered both in isolation and when implemented simultaneously.
External Link(s)
Registration Citation
Citation
Jacobsen, Grant and James Stewart. 2020. "How Do Consumers Respond to Price Complexity? Experimental Evidence from the Power Sector ." AEA RCT Registry. February 21. https://doi.org/10.1257/rct.5438-1.0.
Experimental Details
Interventions
Intervention(s)
Intervention Start Date
2016-06-01
Intervention End Date
2018-03-01
Primary Outcomes
Primary Outcomes (end points)
Household electricity consumption
Primary Outcomes (explanation)
Secondary Outcomes
Secondary Outcomes (end points)
Secondary Outcomes (explanation)
Experimental Design
Experimental Design
A randomized evaluation of how nine different varieties of dynamic pricing affect household electricity consumption. Three treatments are different varieties of time-of-use pricing. Three treatments are different varieties of critical peak rebates. Three treatments are hybrids that include both time-of-use pricing and critical peak rebates. Experiment conducted at a large western United States utility using a recruit-and-deny randomization procedure.
Experimental Design Details
Randomization Method
Randomization done by computer. Recruit-and-deny implementation.
Randomization Unit
Household
Was the treatment clustered?
No
Experiment Characteristics
Sample size: planned number of clusters
N/A
Sample size: planned number of observations
Approximately 3,500
Sample size (or number of clusters) by treatment arms
Approximately 250 minimum by experimental group, with approximately half of the experimental group treated.
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
IRB
INSTITUTIONAL REVIEW BOARDS (IRBs)
IRB Name
IRB Approval Date
IRB Approval Number
Post-Trial
Post Trial Information
Study Withdrawal
Intervention
Is the intervention completed?
No
Is data collection complete?
Data Publication
Data Publication
Is public data available?
No
Program Files
Program Files
Reports and Papers
Preliminary Reports
Relevant Papers