Simulating Heterogeneous Farmer Behaviors
The Effect of Information Treatments
We compare how different information treatments would affect the performance of the ambient-based policy . Both location and size heterogeneity are included in this simulation . In Figure 8 , the red line indicates the target level of pollution , and the blue line indicates the experiment simulation results . From left to right , the three subfigures indicate the results for the no information case , individual level information case , and group level information case . As shown in Figure 8 , a gap exists between the simulated pollution level ( blue line ) and the target pollution level ( red line ) in the no information case ; however , the gap is much smaller in either of the information treatments . This suggests that under this simulation scenario , both information treatments decrease the deviation between the target pollution level and the simulated level , which indicates that the effect of policy is stronger when ambient-based policy is coupled with information “ nudges ”.
Figure 8 . Effects of information on pollution level . The red lines indicate target levels and the blue lines indicate experiment simulated results ’.
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