PT  - JOURNAL ARTICLE
AU  - Edwards, John H. Y.
AU  - Langpap, Christian
TI  - Startup Costs and the Decision to Switch from Firewood to Gas Fuel
AID  - 10.3368/le.81.4.570
DP  - 2005 Nov 01
TA  - Land Economics
PG  - 570--586
VI  - 81
IP  - 4
4099  - http://le.uwpress.org/content/81/4/570.short
4100  - http://le.uwpress.org/content/81/4/570.full
SO  - Land Econ2005 Nov 01; 81
AB  - Firewood remains a key source of energy for households in developing countries, contributing to forest degradation and deforestation. The adoption of alternative fuels may be hindered by high startup costs, and this problem may be compounded by restrictions in credit availability. We use survey data to examine how credit access affects firewood consumption in Guatemala. Our results suggest that access to credit plays a statistically significant role in determining firewood consumption through its effect on the ability to purchase a gas stove. However, simulations suggest that these effects are small and that subsidizing stoves would be a more promising policy for reducing firewood consumption. (JEL O13, Q23, Q48)