About me


Hi! I’m a PhD candidate in Economics at the Vienna University of Economics and Business (WU).

My research focuses on energy markets, environmental economics and industrial economics.


Journal Publications


•   “How (In)Elastic is the Short-Run Demand for Electricity?”. Francesco Scarazzato. (2025) Economics Letters , 254.   Link   GitHub

Abstract
This paper examines how the aggregate demand for electricity responds to changes in hourly wholesale market prices. I focus on a hydropower-rich country and use data on imported wind energy and accumulated precipitation as instruments for price. Using data from Switzerland from 2016 to 2023, I find that both instruments have a strong and significant price-depressing effect, and I estimate the price elasticity of aggregate demand to be -0.1. However, this responsiveness is entirely driven by the consumption of storage systems and power plants, while end-user demand remains perfectly inelastic to price fluctuations in the short-run.



•   “When is the Electric Vehicle Market Self-sustaining? Evidence from Norway” . Nicolas Koch, Nolan Ritter, Alexander Rohlf, Francesco Scarazzato. (2022). Energy Economics , 110.   Link

Abstract
This paper investigates whether the world’s most mature electric vehicle (EV) market in Norway has overcome critical mass constraints and can achieve sustainable long-term equilibria without subsidies. We estimate a structural model that allows for multiple equilibria emerging from the interdependence between EV demand and charging station supply. We first estimate the resulting indirect network effects using an instrumental variable approach. Then, we simulate long-term market outcomes for each of the 422 Norwegian municipalities. We find that almost 20% of all municipalities faced critical mass constraints in the earliest stage of the market. Half of them are effectively trapped in a zero-adoption equilibrium. However, in the maturing market, all municipalities have passed critical mass. Overall, about 60% of the Norwegian population now lives in municipalities with a high-adoption equilibrium, even if subsidies were removed. This suggests that critical mass constraints do no longer justify the provision of subsidies.


Working Papers


•   “The Association between Adverse Temperature Shocks and Schooling Outcomes in India: Impact Quantification and Mitigation Potentials” , with Sumit Agrawal, Pulak Ghosh and Sofie R Waltl. Working Paper

Abstract
Does extreme heat adversely affect educational outcomes in India? We link results from the Indian Upper Primary Level Examination to local weather, air pollution, and vegetation data derived from remote sensing. Our four-year panel tracks student performance within the same schools while accounting for time-invariant characteristics. Both cumulative heat during the school year and higher temperatures during exams significantly reduce performance. Even under the most optimistic RCP scenario, a constant temperature increase would, ceteris paribus, lower pass rates by 3%, implying substantial human capital losses. Effect sizes peak when maximum temperatures exceed 40°C and are similar for general measures of thermal comfort combining heat and humidity. Students in poorer areas, especially the urban poor, are most vulnerable, and newer or non-centrally managed schools may require retrofitting. Vegetation near schools mitigates heat impacts but not sufficiently to offset future risks.


Ongoing Projects


•   “Hydropower and Market Power: Resource Extraction under Limited Transmission Capacity” .


•   “Tariffs and Competition in the Electric Vehicle Charging Market” , With Lydia Dimitrakopoulou, Lukas Brunninger, and Klaus Gugler.