Open AccessA behavioural perspective on the consumer decision-making process in the electricity market
Author(s) -
Aleksandra Aziewicz,
AUTHOR_ID
Publication year - 2021
Publication title -
studia i materiały
Language(s) - English
Resource type - Journals
ISSN - 1733-9758
DOI - 10.7172/1733-9758.2021.34.2
Subject(s) - rationality , economics , electricity , electricity market , irrational number , perspective (graphical) , microeconomics , consumption (sociology) , consumer behaviour , process (computing) , point (geometry) , marketing , business , computer science , sociology , engineering , epistemology , social science , philosophy , geometry , mathematics , artificial intelligence , electrical engineering , operating system
The aim of the paper is to (1) verify the validity of choosing behavioural economics to analyse irrational consumer behaviour in the electricity market and (2) considering the occurrence of cognitive biases, proposing actions influencing consumer behavior to achieve the desired effects. The reason for taking up this subject is the conviction that the neoclassical economic models cannot fully explain the phenomena observed in the electricity market. Those models assume that the process of making individual decisions in the market is fully rational. Meanwhile, observations and analyses of literature and research point to deviations from rationality in consumer behaviour in the electricity market. The paper will describe consumer behaviour in the electricity market and, if possible, characterise the observed deviations from rationality from the point of view of behavioural economics.