Save money, the environment, or both! Many consumers have both monetary and environmental reasons for saving energy. This study was designed to see how different types of advertising affect a consumers willingness to enroll in an energy saving program. The energy saving programs were of two types: either reducing overall usage (Conservation program) or reducing consumption when demand is highest (Peak Shaving program). For each of the two types of energy saving programs, the advertisement described the programs benefits as saving money, saving energy, or saving both money and energy. For the study, 1406 participants were recruited and randomly assigned to the combinations of energy savings program and program benefits. After reading the advertisement, the subjects then indicated their willingness to enroll in the program on a scale of 1 (definitely not) to 8 (definitely yes). Here is some of the wording used for the conservation program emphasizing saving money:

We are offering a new program that will help you reduce your electricity bill . . . . To help you SAVE MONEY, you will get a free display that shows how much electricity you are using . . . . For example, you can set your thermostat higher in the summer, turn off your air conditioner, . . . .

The Peak Shaving program advertisement emphasizing saving money was similar, but the free display was designed to track the price and use of electricity in the consumers area to allow them to use electricity during cheaper, off-peak times.

(a) Identify the subjects, the factors, the treatments, and the response variables.

 

(b) Use a diagram to display the factors and the treatments.