Raúl Bajo
raulbajob.bsky.social
Raúl Bajo
@raulbajob.bsky.social
gracias por la difusión @juanluisjimenez.bsky.social !
April 8, 2025 at 1:20 PM
Extremely grateful to the editor and anonymous referees for the constructive comments, and also to my amazing colleague Miguel Ángel!

Link to the full paper --> sciencedirect.com/science/arti...

#EconSky
Market competition and the adoption of clean technology: Evidence from the taxi industry
Environmental policies may be ineffective when firms lack incentives to adopt cleaner technologies due to their market power. This paper examines whet…
sciencedirect.com
March 19, 2025 at 4:12 PM
Conclusion:

🚖➡️♻️ Market competition causally drives green vehicle adoption!

We show this conclusion is robust to a *gazillions* of robustness checks (see Appendix C)

Estimates on the implications in terms of CO2 are provided in Section 4.4 (see also pic below)
March 19, 2025 at 4:12 PM
We rule out alternative explanations for the "market competition" effect:

❌ Not due to shifts in vehicle purchase timing

❌ Not due to used vehicle purchases

❌ Not driven by behavioral biases

❌Not driven by marketing strategies appealing to eco-conscious consumers
March 19, 2025 at 4:12 PM
Supporting evidence 🔍

(a) Stronger effect in cities with higher competition

(b) No effect in sectors not affected by ride-hailing (e.g. driving schools, rental cars)

(c) No effect on households

(d) Taxi drivers facing less competition were less likely to adopt EVs
March 19, 2025 at 4:12 PM
Data 📊

We use data on all vehicle purchases by taxi drivers in Spain from Dec 2014 to Feb 2020

Main finding🚗

In metro areas where ride-hailing platforms entered, the average monthly purchase of green vehicles increased by ~30%!

(Madrid and BCN were EXCLUDED due to LEZ)
March 19, 2025 at 4:12 PM
We study the impact of ride-hailing platform entry (UBER and Cabify) in Spain...

...on taxi drivers' adoption of electric vehicles

Ideal context because

✅ Taxis hold local monopolies
✅ Transport is a major emissions source
✅ Gas tax promotes EV adoption
March 19, 2025 at 4:12 PM
Main Research Question ⁉️

Can market competition accelerate the adoption of cleaner technologies among suppliers?

.... lack of incentives to adopt green tech may reduce the effectiveness of environmental policies
March 19, 2025 at 4:12 PM