What is Jevons Effect?

What is Jevons Effect?

What is Jevons Effect? Jonathan Poland

Jevons paradox, also known as the Jevons effect, is a phenomenon in which an increase in the efficiency of resource use leads to an increase in resource consumption, rather than a decrease. The paradox is named after economist William Stanley Jevons, who first described it in his 1865 book, “The Coal Question.”

Jevons observed that as the efficiency of steam engines improved, coal consumption actually increased, rather than decreasing as one might expect. He argued that this was due to the fact that improvements in efficiency led to a decrease in the cost of using coal, which in turn increased demand for coal. This increased demand offset the savings that were realized through improved efficiency, resulting in overall higher resource consumption.

Jevons paradox has been observed in a number of other resource consumption contexts, including energy use, water use, and transportation. For example, as cars become more fuel efficient, people may be more likely to drive more, leading to an overall increase in fuel consumption.

One of the key drivers of Jevons paradox is the rebound effect, which refers to the tendency of people to use more of a resource when it becomes cheaper or more convenient to do so. This can lead to a “rebound” in resource consumption, even when efficiency improvements have been made.

Jevons paradox highlights the importance of considering the broader economic and social factors that can influence resource. There are several factors that can contribute to the paradox, including:

  1. Decreased costs: As the efficiency of a resource increases, the cost of using it may decrease, making it more affordable and attractive to consumers.
  2. Increased convenience: Improved efficiency can also increase the convenience of using a resource, making it more appealing to consumers.
  3. Changes in behavior: Improved efficiency can also alter consumer behavior, as people may be more likely to engage in activities that they previously avoided due to the cost or inconvenience of using the resource.
  4. Indirect impacts: Improved efficiency may also have indirect impacts on resource consumption, such as increasing the demand for products or services that use the resource.
Good Failure Jonathan Poland

Good Failure

Good failure, also known as productive failure, refers to the idea that failure can be a valuable learning experience and…

Price Economics Jonathan Poland

Price Economics

Price economics, also known as pricing strategy, is the study of how businesses determine the price of their products and…

Risk Prevention Jonathan Poland

Risk Prevention

Risk prevention is the process of identifying, assessing, and mitigating potential risks that may arise in a given situation. It…

Credit Risk Jonathan Poland

Credit Risk

Credit risk refers to the likelihood that a borrower will default on their debt obligations. When an entity has a…

Market Saturation Jonathan Poland

Market Saturation

Market saturation refers to a state in which a particular market is filled with a high number of similar products…

Product Knowledge Jonathan Poland

Product Knowledge

Product knowledge refers to the ability to effectively communicate information and answer questions about a product or service. This knowledge…

Generic Drug Manufacturers Jonathan Poland

Generic Drug Manufacturers

The generic drug industry is a sector of the pharmaceutical industry that focuses on the development, production, and marketing of…

What is Greenwashing? Jonathan Poland

What is Greenwashing?

Greenwashing refers to the act of making false or misleading claims about the environmental benefits of a product or company…

Competition Jonathan Poland

Competition

Competition is a term that refers to the act of engaging in a contest with others in order to determine…

Learn More

Community Problems Jonathan Poland

Community Problems

Community problems are local issues that can only be effectively addressed by involving the people who live in the affected…

What Is Requirements Quality? Jonathan Poland

What Is Requirements Quality?

Requirements quality refers to the extent to which the requirements for a project align with the business goals and support…

Working Style Jonathan Poland

Working Style

Working style refers to an individual’s preferred approach to performing their job and completing tasks. This can include factors such…

Quantum Computing Jonathan Poland

Quantum Computing

Quantum computing is a fascinating and rapidly evolving field that seeks to harness the principles of quantum mechanics to perform…

Supplier Risk Jonathan Poland

Supplier Risk

Supplier risk refers to the risk that a supplier will not fulfill their commitments to an organization, which could result…

Organic Growth Jonathan Poland

Organic Growth

Organic growth refers to an increase in revenue that is generated through a company’s own efforts, such as marketing, innovation,…

Adaptive Performance Jonathan Poland

Adaptive Performance

Adaptive performance is the ability of an individual to perform well in changing, uncertain, and stressful situations. This type of…

Cost Effectiveness Jonathan Poland

Cost Effectiveness

Cost effectiveness is the measure of the relationship between the costs and outcomes of a program, project, or intervention. It…

Veblen Goods Jonathan Poland

Veblen Goods

Veblen goods are a type of consumer good that is perceived as being more valuable or desirable because of its…