Perceived Relative Income and Revealed Preferences for Clean Air

Last registered on May 16, 2022

Pre-Trial

Trial Information

General Information

Title
Perceived Relative Income and Revealed Preferences for Clean Air
RCT ID
AEARCTR-0009441
Initial registration date
May 13, 2022

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published
May 16, 2022, 5:20 PM EDT

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Locations

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Primary Investigator

Affiliation
Heidelberg University

Other Primary Investigator(s)

PI Affiliation
Heidelberg University
PI Affiliation
Heidelberg University

Additional Trial Information

Status
In development
Start date
2022-05-13
End date
2022-07-31
Secondary IDs
Prior work
This trial does not extend or rely on any prior RCTs.
Abstract
Across the globe, people tend to misperceive their true position in the income distribution. Theory predicts that a correction of this misperception leads to an increase in the demand for redistribution among the richer half of the population if people are averse to inequality. While recent studies do not always confirm this effect with respect to income redistribution, we test whether correcting perceived relative income has a significant and positive effect on the demand for environmental public goods, such as clean air, that goes beyond the demand for income redistribution. This prediction rests on the assumption that individuals derive a larger disutility from the existence of an unequal access to environmental public goods than from an unequal distribution of income, as the former might be perceived by many as more unfair. We test this hypothesis empirically with an online survey experiment with 2,500 Indian MTurkers.
External Link(s)

Registration Citation

Citation
Balietti, Anca, Angelika Budjan and Tillmann Eymess. 2022. "Perceived Relative Income and Revealed Preferences for Clean Air ." AEA RCT Registry. May 16. https://doi.org/10.1257/rct.9441
Sponsors & Partners

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Experimental Details

Interventions

Intervention(s)
We design an online survey experiment including (a) a survey questionnaire, (b) comprehensive information about air pollution in general and personalized information about the average PM2.5 level and the associated health effects for the participants' state of residence, and (c) the collection of outcome variables.

We collect several outcomes of interest. In particular, we offer the chance to contribute part of the remuneration for participation to one of several non-governmental organizations (NGO) leading air pollution reduction initiatives across India. The study is complemented by the elicitation of (i) stated support for public policies, (ii) intended adoption of private protective measures against PM2.5 exposure, as well as (iii) redistributive and environmental preferences.
Intervention Start Date
2022-05-13
Intervention End Date
2022-07-31

Primary Outcomes

Primary Outcomes (end points)
1. Perceived relative household income
2. Contribution to pro-environmental NGO
Primary Outcomes (explanation)

Secondary Outcomes

Secondary Outcomes (end points)
1. Perception of own number of life years lost due to air pollution exposure
2. Index of stated support for public policies
3. Index of stated adoption of defensive mechanisms
Secondary Outcomes (explanation)

Experimental Design

Experimental Design
As our main focus, we aim to manipulate the perceived relative income to test for a relationship between perceived income and revealed preferences for environmental quality.
Experimental Design Details
Not available
Randomization Method
Participants are randomly assigned to one of our five treatment groups following a Latin square design.
Randomization Unit
Individual participant
Was the treatment clustered?
No

Experiment Characteristics

Sample size: planned number of clusters
NA
Sample size: planned number of observations
2500 individuals
Sample size (or number of clusters) by treatment arms
500 individuals per treatment arm
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
IRB

Institutional Review Boards (IRBs)

IRB Name
Ethics Committee of the University of Göttingen
IRB Approval Date
2022-04-21
IRB Approval Number
NA
Analysis Plan

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