Date of Award
6-2024
Degree Type
Doctoral Dissertation
Degree Name
Doctor of Business Administration (DBA)
Department
Jack Welch College of Business & Technology
Dissertation Supervisor
Dr. Khawaja Mamun
Committee Member
Dr. Jung Bae
Committee Member
Dr. Shifat Akhtar
Abstract
Renewable energy continues to gain popularity amongst businesses and residents due to the growing concerns on climate change, government regulations and the overall need for a more sustainable energy system. Renewable energy has surged in popularity due to declining costs, and the growing awareness of the need for renewable energy to combat ongoing climate issues. The transition to renewable energy sources such as solar and geothermal power is expected to have a significant impact on various aspects of the economy including the housing market. This research aims to explore the relationship between renewable energy adoption and housing prices in the United States using state-level data. This research utilizes state level data on political party, temperature, unemployment rate, disposable income, labor force, population, state-level renewable energy tax credits, etc. The methodology includes panel data models, regression analysis and instrumental variable (IV) analysis. Using fixed effects (FE) panel estimation, the research findings indicate a positive correlation between housing prices and renewable solar. However, there is a negative correlation between housing prices and renewable geothermal energy. The instrumental variable estimation suggests a positive casual effect for log of housing price for renewable solar energy and a negative casual effect for renewable geothermal energy, when instrumented by state-level solar tax credits. The exploration of the inverse relationship between housing prices and renewable geothermal energy, illuminated through instrumental variable estimation, highlights the pivotal role of policy incentives, such as state-level renewable energy tax credit, in shaping the adoption and impact of distinct renewable energy sources within the housing market.
Recommended Citation
Checchi, H. (2024). The impact of renewable energy adoption on state-level housing market prices. Jack Welch College of Business & Technology dissertation, Sacred Heart University, Fairfield CT. Retrieved from https://digitalcommons.sacredheart.edu/wcob_theses/40/
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.
Included in
Business Administration, Management, and Operations Commons, Corporate Finance Commons, Finance and Financial Management Commons
Comments
Submitted as partial fulfillment of the requirements for the degree of Doctor of Business Administration in Finance Sacred Heart University, Jack Welch College of Business and Technology, Sacred Heart University
Dissertation Number DBA11/2023