Fairness and the support of redistributive environmental policies

Exemptions from costly policy measures are frequently applied to alleviate financial burdens on specific market participants. Using a stated-choice experiment with around 6000 German household heads, we test how exemptions for low-income households and energy-intensive companies influence the political feasibility of additional cost promotion renewable energies. We find that support is substantially higher when exempt rather than industry. Introducing top existing industry increases acceptability policy. show as one example distributional design associated individual behavioral like inequality aversion fairness perceptions.