Cold Houses in Warm Climates and Vice Versa: A Paradox of Rational Heating.

S-Tier
Journal: Journal of Political Economy
Year: 1987
Volume: 95
Issue: 5
Pages: 1089-97

Score contribution per author:

8.043 = (α=2.01 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Houses in cold climates are kept warmer in winter than those in warm climates, des pite the greater cost of heating in colder climates. It is shown that this is not only consistent with, but also implied by, rationality. The contrary intuition is based on a confusion between average and ma rginal cost. The same analysis implies that it is rational to keep th e thermostat setting constant throughout the heating season rather th an changing it with changes in external temperature. Copyright 1987 by University of Chicago Press.

Technical Details

RePEc Handle
repec:ucp:jpolec:v:95:y:1987:i:5:p:1089-97
Journal Field
General
Author Count
1
Added to Database
2026-01-25