Influence of Air Travelers’ Willingness to Pay for Carbon Offset Based on Partial Least Squares Structural Equation Modeling

Abstract

With air passengers as research objects, this study adopted partial least squares structural equation modeling method to build a model and analyzed passengers’ willingness to purchase carbon offsets and its influencing factors. According to the results, the effects of factors such as carbon environment, travel environment, and participation motivation are significantly positive on air passengers’ attitudes toward emission reduction. As a mediating variable, emission reduction attitude has a significant and positive influence on air passengers’ willingness to purchase carbon offsets. Psychological variables have a notable influence on individuals’ willingness to pay for carbon offsets. Besides, socio-economic attributes do not have any significant influence on passengers’ willingness to pay. To build a sustainable and voluntary carbon offset mechanism in the aviation industry, we need to raise air passengers’ low-carbon awareness by launching various carbon offset programs, and expand air passengers’ knowledge about carbon emissions. This study provides valuable insights into the pricing strategy of Chinese airlines.