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on Transition Economics |
| By: | Meng, Bo; Xue, Jinjun |
| Abstract: | This paper proposes an alternative input-output based spatial-structural decomposition analysis to elucidate the role of domestic-regional heterogeneity and interregional spillover effects in determining China's regional CO2 emission growth. Our empirical results based on the 2007 and 2010 Chinese interregional input-output tables show that the changes in most regions' final demand scale, final expenditure structure and export scale give positive spatial spillover effects on other regions' CO2 emission growth, the changes in most regions' consumption and export preference help the reduction of other regions' CO2 emissions, the changes in production technology, and investment preference may give positive or negative impacts on other region's CO2 emission growth through domestic supply chains. For some regions, the aggregate spillover effect from other regions may be larger than the intra-regional effect in determining regional emission growth. All these facts can significantly help better and deeper understanding on the driving forces of China's regional CO2 emission growth, thus can enrich the policy implication concerning a narrow definition of "carbon leakage" through domestic-interregional trade, and relevant political consensus about the responsibility sharing between developed and developing regions inside China. |
| Keywords: | Environmental problems, Global warming, Input-output tables, Regional heterogeneity, Spillover effect, CO2 emissions, Input-output, Supply chain |
| JEL: | C65 Q56 R15 |
| Date: | 2016–03 |
| URL: | http://d.repec.org/n?u=RePEc:jet:dpaper:dpaper576&r=tra |
| By: | Şen, Hüseyin; Kaya, Ayşe |
| Abstract: | This study empirically examines the validity of the twin and triple deficits hypotheses using bootstrap panel Granger causality analysis and an annual panel data set of six post-communist countries (Russia, Poland, Ukraine, Romania, the Czech Republic, and Hungary) from 1994 to 2012. Our findings, based on panel data analysis under cross-sectional dependence and country-specific heterogeneity, support neither the twin deficits hypothesis nor its extended version, the triple deficits hypothesis, for any of the countries considered. In other words, we find no Granger-causal relationship between budget deficits and trade (or current account) deficits or among budget deficits, private savings-investment deficits, and trade deficits. |
| Keywords: | macroeconomic policy, fiscal policy, twin deficits, triple deficits, post-communist countries, transition economies, bootstrap panel granger causality test |
| JEL: | E60 F30 F32 H62 |
| Date: | 2016–02–18 |
| URL: | http://d.repec.org/n?u=RePEc:bof:bofitp:2016_003&r=tra |
| By: | Deng, Tinghe; Chen, Qihui; Bai, Junfei |
| Abstract: | This paper attempts to provide an understanding of the widely-documented retirement-consumption puzzle from the perspective of food consumption. Exploiting urban China's "forced" retirement system, we use the legal retirement age cut-off as an instrumental variable for one's retirement status to estimate the causal impacts of retirement on four major aspects of food consumption for males aged 50-70 in urban China: food expenditure, time spent on food acquisition, the quantity, and quality of food consumed. Our fuzzy regression-discontinuity analysis of the China Health and Nutrition Survey data finds that, consistent with the retirement-consumption puzzle, retirement reduces individuals' total food expenditure by 49%. However, retirement barely changes the quantity of food consumption measured by total calorie intakes. Serving to reconcile the differential retirement impacts on elderly males' food expenditure and consumption, retirees are found to substitute their time for money in food acquisition upon retirement. However, they have to sacrifice some quality for quantity of food consumption while smoothing the latter. Given the criteria provided by the Chinese Nutrition Association, retirement negatively affects retirees' diet balance. They consume significantly less food with animal origins (and thus less fat and protein) and more grains (and thus more carbohydrate) upon retirement. |
| Keywords: | Food expenditure, Food consumption, Resource substitution, Retirement, Urban China, Consumer/Household Economics, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, E20, J14, J26, |
| Date: | 2016–08–02 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:235540&r=tra |
| By: | Michael Rochlitz (National Research University Higher School of Economics) |
| Abstract: | Electoral authoritarian regimes often rely on patron-client relationships and political machines to win elections. While a growing literature has focused on the reasons why authoritarian regimes might want to hold elections, the economic consequences associated with the need to win elections have been less intensely studied. In this paper, we argue that while holding elections might offer authoritarian regimes a range of informational and other advantages in the short and medium run, the long-term economic costs can be significant and potentially destabilizing. This effect is especially strong in transition economies, where outdated and inefficient economic structures might be kept alive for political reasons. The theory is tested with an original dataset of gubernatorial appointments from a leading electoral authoritarian regime, the Russian Federation. We find that by incentivizing regional governors to use their political machines to win elections for the regime, the Kremlin effectively punishes those governors that are successfully developing their regional economies, with the effect being especially strong in regions where a high percentage of the population lives in Soviet-era single company towns. |
| Keywords: | authoritarian elections, political machines, bureaucratic incentives, patronclient relationships, economic growth |
| JEL: | M51 O43 P31 P52 |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:hig:wpaper:34/ps/2016&r=tra |
| By: | Lai, Wangyang |
| Abstract: | This paper provides the first quasi-experimental evidence that pesticides adversely affect health outcomes through drinking water by linking provincial pesticide usage reports from several Chinese statistical yearbooks (1998-2011) with the Chinese Longitudinal Healthy Longevity Survey (1998-2011). First, we follow a difference-in-difference-in-differences (DDD) framework to compare health outcomes between people who drink surface water and ground water in regions with high and low intensity of rice pesticide use before and after 2004, when China shifted from taxing agriculture to subsidizing agricultural programs. Second, we measure the downstream effect of pesticide use from upstream provinces. Our results indicate that a 10% increase in rice pesticide use unfavorably alters the index of dependence (ADL) by 2.51% and 0.33% for local and downstream residents (65 and older), respectively. This is equivalent to 168.8 and 55.89 million dollars in medical costs and offspring’s human capital losses, respectively (in total, 1.92% of rice production profits). Our results are robust to a variety of robustness checks and falsification tests. |
| Keywords: | Pesticide, Drinking Water, Public Health, Triple Difference Estimator, Medical and Human Capital Costs, China, Environmental Economics and Policy, Health Economics and Policy, Q1, Q5, I1, |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:235439&r=tra |
| By: | Deng, Tinghe; Chen, Qihui; Bai, Junfei |
| Abstract: | This paper attempts to provide an understanding of the widely-documented retirement-consumption puzzle from the perspective of food consumption. Exploiting urban China's "forced" retirement system, we use the legal retirement age cut-off as an instrumental variable for one's retirement status to estimate the causal impacts of retirement on four major aspects of food consumption for males aged 50-70 in urban China: food expenditure, time spent on food acquisition, the quantity and quality of food consumed. Our fuzzy regression-discontinuity analysis of the China Health and Nutrition Survey data finds that, consistent with the retirement-consumption puzzle, retirement reduces individuals' total food expenditure by 49%. However, retirement barely changes their quantity of food consumed (measure by total calorie intakes). Serving to reconcile the differential retirement impacts on elderly males' food expenditure and consumption, retirees are found to substitute their time for money in food acquisition upon retirement. However, they have to sacrifice some quality for quantity of food consumption while smoothing the latter. Given the criteria provided by the Chinese Nutrition Association, retirement negatively affects retirees' diet balance. They consume significantly less food with animal origins (and thus less fat and protein) and more grains (and thus more carbohydrate) upon retirement. |
| Keywords: | Food expenditure, Food consumption, Resource substitution, Retirement, Urban China, Consumer/Household Economics, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, E20, J14, J26, |
| Date: | 2016–08–02 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:235535&r=tra |
| By: | International Monetary Fund |
| Abstract: | Background. Romania made important progress in addressing economic imbalances in recent years. Prudent policies, partly in the context of successive Fund-supported programs, reduced vulnerabilities, and the fiscal and current account deficits improved markedly. However, economic policies have weakened recently and hard-won gains are at risk. Fiscal policy is pro-cyclical and the fiscal deficit is projected to increase substantially in 2016 and remain high in 2017, putting public debt on a gradually rising trajectory. Progress on structural reforms has slowed. Some recently passed measures, and others under consideration in parliament, could threaten property rights and damage the financial sector. Outlook and risks. Recent stimulus measures have raised cyclical—but not structural—growth. Underlying inflation, adjusted for recent tax reductions, is expected to gradually pick up. Risks to the outlook are tilted to the downside and relate mostly to a possible further weakening of policies in an election year and external uncertainties. |
| Keywords: | Romania;Europe;inflation, debt, market, monetary fund, fiscal policy |
| Date: | 2016–05–11 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfscr:16/113&r=tra |
| By: | Enikolopov, Ruben; Makarin, Alexey; Petrova, Maria |
| Abstract: | Do new communication technologies, such as social media, reduce collective action problem? This paper provides evidence that penetration of VK, the dominant Russian online social network, affected protest activity during a wave of protests in Russia in 2011. As a source of exogenous variation in network penetration, we use information on the city of origin of the students who studied together with the founder of VK, controlling for the city of origin of the students who studied at the same university several years earlier or later. We find that a 10% increase in VK penetration increased the probability of a protest by 4.6%, and the number of protesters by 19%. Additional results suggest that social media has affected protest activity by reducing the costs of coordination, rather than by spreading information critical of the government. In particular, VK penetration increased pro-governmental support and reduced the number of people who were ready to participate in protests right before the protests took place. Also, cities with higher fractionalization of network users between VK and Facebook experienced fewer protests. Finally, we provide suggestive evidence that municipalities with higher VK penetration received smaller transfers from the central government after the occurrence of protests. |
| Keywords: | collective action; impact of technology adoption; political protests; social media |
| JEL: | D7 H0 |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:11254&r=tra |
| By: | Jin, Yanhong; Hu, Yahong; Pray, Carl; Hu, Ruifa |
| Abstract: | Employing the count data analysis based on survey data of 1355 firms in China’s 29 provinces collected in 2007, this study analyzes the impact of public and private agricultural R&D investments on research productivity measured by the number of patents granted to agricultural firms. We find that private R&D investments and having an own R&D research center increase the number of patents granted. However, the public R&D investments do not have a statistically significant effects on the number of patents granted. We also find that the number of research staff, especially of doctoral research staff, has a positive and statistically significant effect on the number of patents granted. Multi-national firms and firms located in central China have fewer patents than their counterparts. The main findings suggest that it is more efficient for Chinese government to improve research productivity if it encourages private agricultural R&D investments and helps agricultural firms to build their own R&D centers. Chinese government may also need to strengthen the legal framework and institutional resources for the protection and enforcement of intellectual properties to encourage domestic and international firms patent their new technologies. |
| Keywords: | Research and Development Investment, Agricultural Research Productivity, Public R&D, Private R&D, International Development, Productivity Analysis, |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:236125&r=tra |
| By: | Kinnunen, Jyri; Martikainen, Minna |
| Abstract: | In this paper, we explore a relation between expected returns and idiosyncratic risk. As in many emerging markets, investors in the Russian stock market cannot fully diversify their portfolios due to transaction costs, information gathering and processing costs, and short-comings in investor protection. This implies that investors demand a premium for idiosyncratic risk – unique asset-specific risk plays a role in investment decisions. We estimate the price of idiosyncratic risk using MIDAS regressions and a cross-section of Russian industry portfolios. We find that idiosyncratic risk commands an economically and statistically significant risk premium. The results remain unaffected after controlling for global pricing factors and short-term return reversal. |
| Keywords: | idiosyncratic risk, industry risk, cross-sectional returns, MIDAS, Russia |
| JEL: | G12 |
| Date: | 2015–10–30 |
| URL: | http://d.repec.org/n?u=RePEc:bof:bofitp:2015_030&r=tra |
| By: | Paul Hubbard (Crawford School of Public Policy) |
| Abstract: | China’s National Bureau of Statistics releases data for China’s industrial sector, fixed asset investment and real estate investment both according to the enterprise’s official registration status, and according to whether the controller of the enterprise is the state. For most applications data for ‘state owned and state-holding companies’ based on the control concept is appropriate, as this includes coverage of SOEs’ listed- and unlisted-subsidiaries. These data show that less than a third of Chinese industrial output, fixed asset investment, and less than twenty per cent of Chinese real estate investment is carried on by companies that are controlled by the state. A broader definition to cover all state ownership would include enterprises that are not ‘state controlled’ but nevertheless include state capital or investment from SOEs. This would capture some additional proportion of the limited liability companies, joint-ventures and shareholding corporations that are in mixed ownership. |
| Keywords: | China state owned Enterprises, industrial output, fixed asset investment, real estate investment, Chinese economic statistics |
| JEL: | E01 L32 H83 C82 |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:eab:govern:25575&r=tra |
| By: | Li, Xiaokang; Guo, Hongdong; Li, Lin |
| Abstract: | Contract farming in development countries has become popular, and this is the same for vegetable production in China. The purpose of this paper is to investigate the impact of production attributes of different vegetables on farmers’ decision of contract farming participation, as well as examine the impact of marketing contracts on net returns. The results revealed that the harvest and marketing times, perishability, certification of the vegetables, and price fluctuation have significantly positive effect on vegetable farmers’ contract farming participation, respectively. A PSM method is employed to estimate the impact of contract farming on net returns of vegetable production, and find out the effect is insignificant. |
| Keywords: | contract farming, vegetable production, transaction cost, China, Agricultural and Food Policy, Crop Production/Industries, |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:235573&r=tra |
| By: | Yiqiu, Wang; Maria, Porter; Songqing, Jin |
| Abstract: | This research estimates the impact of the New Cooperative Medical Scheme (NCMS), a public health insurance program in rural China, on health service use, healthcare costs, and health outcomes. Using difference-in-difference and propensity score matching methods, we address county and household selection bias with panel data from the China Health and Nutrition Survey. By comparing various methods used in prior studies of NCMS to define treatment and comparison groups, we find evidence of county selection bias. Taking a new sampling approach after controlling for county selection issues, we find that while NCMS does not improve health, use of both preventive services and township hospitals increases, as do costs for treating the common cold. In particular, we find that relatively vulnerable households – those with lower incomes and older members participating in NCMS–travel greater distances to access healthcare services, incurring higher travel and treatment costs, yet with no measurable health benefits. |
| Keywords: | China, Health insurance, Medical service utilization, Health, Health Economics and Policy, |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:235470&r=tra |
| By: | Toman Barsbai (Kiel Institute for the World Economy - Kiel Institute for the World Economy); Hillel Rapoport (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics); Andreas Steinmayr (University of Munich); Christoph Trebesch (CESifo - Center for Economic Studies and Ifo for Economic Research - CESifo Group Munich, University of Munich) |
| Abstract: | Migration contributes to the circulation of goods, knowledge, and ideas. Using community and individual-level data from Moldova, we show that the emigration wave that started in the late 1990s strongly affected electoral outcomes and political preferences in Moldova during the following decade, eventually contributing to the fall of the last Communist government in Europe. Our results are suggestive of information transmission and cultural diffusion channels. Identification relies on the quasiexperimental context and on the differential effects arising from the fact that emigration was directed both to more democratic Western Europe and to less democratic Russia. |
| Keywords: | Emigration,political institutions,elections,social networks,information transmission,cultural diffusion |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-01321962&r=tra |
| By: | Komarov, Vladimir (Russian Presidential Academy of National Economy and Public Administration (RANEPA)); Kotsyubinskiy, Vladimir (Russian Presidential Academy of National Economy and Public Administration (RANEPA)) |
| Abstract: | It is shown that the ideology and strategy of socio-economic development can be based on the paradigm of sustainable development. This implies an increase of the national wealth as stocks of capital (human, natural, physical, social, cultural and structural) in time. The paper proposes measures for Russia's transition to the paradigm of sustainable development. |
| Keywords: | sustainable development, ideology, strategy |
| Date: | 2016–03–10 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:wpaper:1034&r=tra |
| By: | Izabella Szakálné Kanóa, Balázs Lengyel, Zoltán Elekes, Imre Lengyel; Balázs Lengyel; Zoltán Elekes; Imre Lengyel |
| Abstract: | We investigate the effect of related variety on the entry and exit patterns of domestic and foreign firms in Hungarian city regions from 1996-2012. In order to characterize the archetypes of interaction between domestic and foreign firms, we introduce three alternative models to calculate the related variety. The best fit is provided by the model, in which no interaction among foreign and domestic firms is presumed. Related variety in the foreign subset tends to accelerate firm entry and decelerate firm exit in a much earlier stage of economic transition than related variety across domestic firms. |
| Keywords: | related variety, firm entry and exit, foreign-owned firms, panel logistic regression, dual economy |
| JEL: | F43 F23 L16 |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:egu:wpaper:1612&r=tra |
| By: | Andreev, Mikhail (Russian Presidential Academy of National Economy and Public Administration (RANEPA)); Larionova, D. (Russian Presidential Academy of National Economy and Public Administration (RANEPA)); Khromov, Mikhail (Russian Presidential Academy of National Economy and Public Administration (RANEPA)) |
| Abstract: | The object of study in this paper is the sector of non-bank financial institutions and financial markets of the Russian Federation. The authors proposed a multilevel system of synchronous indicators - indicators on which to judge the presence of the crisis on the 4 segments of the Russian financial market (stock, bond, cash, currency) and the existence of a crisis in the non-bank financial institutions - insurance companies, pension funds and management companies. For money market leading indicators are constructed. Improved methods of signal lights: LED signal flow tied to the local extreme point series. Calculated and analyzed delay intervals between rows of Russian statistics. The analysis of series of delay, firstly, justifies a typical sequence of crises in the Russian economy, and secondly, justifies the construction and predictive power of leading indicators. Based on the results established a system of monitoring of financial institutions and financial markets. |
| Keywords: | non-bank financial institutions, financial markets, indicators, monitoring, Russia |
| Date: | 2016–04–06 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:wpaper:546&r=tra |
| By: | Xiaoping Chen (Division of Economics, Nanyang Technological University, 14 Nanyang Drive, Singapore 637332.); Yi Lu (Division of Economics, Nanyang Technological University, 14 Nanyang Drive, Singapore 637332.); Lianming Zhu (Kyoto University, Japan) |
| Abstract: | This paper examines the organization structure of global sourcing over the product cycle. The paper combines a new product list dataset and China's customs data. The analysis finds that multinationals first produce within their foreign subsidiaries, and when the product matures, they start to outsource their production to external foreign suppliers. Global outsourcing appears later along the product cycle when the contractibility is better. |
| Keywords: | Global sourcing; Product cycle; Contractibility; Difference-in-difference-in-differences estimation |
| JEL: | F12 F23 L23 D23 |
| Date: | 2016–03 |
| URL: | http://d.repec.org/n?u=RePEc:nan:wpaper:1604&r=tra |
| By: | Zhao, Yuanfeng; Zhang, Xuguang |
| Abstract: | A major problem facing dairy farmers is production risk, and dairy cattle insurance is one alternative for reducing this risk. The primary objective of this paper is to test the effects of dairy cattle insurance on farmers’ anti-risk inputs. Based on the survey data of dairy farmers in 2015, this paper selects the main area of dairy farming in China-the Inner Mongolia Autonomous Region as the study area, using treatment-effects model for empirical test and analysis. The findings indicates that the existing dairy cattle insurance policies in China do not have a significant effect on farmers’ anti-risk inputs. Due to the low insurance payments and the narrow insurance coverage for the death of dairy cattle, the farmers who participate in dairy cattle insurance, will not weaken their health management measures for dairy cattle, and they do not have negative anti-risk behaviors in the process of dairy production. |
| Keywords: | Dairy farming, Dairy cattle insurance, Anti-risk inputs, Moral hazard, Agricultural Finance, |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:236231&r=tra |
| By: | Thorsten Chmura (Nottingham University, Business School); Sebastian J. Goerg (Department of Economics, Florida State University); Pia Weiss (Nottingham University, Business School) |
| Abstract: | We investigate whether the origin of an employee provides different motives for wage discrimination in gift-exchange experiments with students and migrant workers in China. In a lab and an internet experiment, subjects in the role of employers can condition their wages on the employees? home provinces. The resulting systematic differences in wages can be linked to natural groups and economic characteristics of the provinces. In-group favoritism increases wages for employees who share the same origin as the employer, while an increased probability of being matched with an employee with a different ethnicity reduces wages. Furthermore, wages in the laboratory increase with the actual wage level in the employees? home province. Nevertheless, employees? effort is not influenced by these variables; only the wage paid in the experiment influences effort. |
| Keywords: | wages, discrimination, social identity, natural groups, lab experiment, gift-exchange, migrant-workers, China |
| JEL: | C91 J31 J71 M52 |
| Date: | 2016–04 |
| URL: | http://d.repec.org/n?u=RePEc:fsu:wpaper:wp2016_04_01&r=tra |
| By: | Guojun He (Department of Economics, Hong Kong University of Science and Technology; Division of Social Science, Hong Kong University of Science and Technology; Division of Environment, Hong Kong University of Science and Technology; Institute for Emerging Market Studies, Hong Kong University of Science and Technology); Jeffrey Perloff (Department of Agricultural and Resource Economics, UC Berkeley) |
| Abstract: | Surface water pollution has a significant, non-monotonic effect on the infant mortality rate in China. As surface water quality deteriorates, the infant mortality rate first increases and then decreases. Thus, moderate levels of pollution are the most dangerous. |
| Keywords: | water quality; water pollution; infant mortality |
| JEL: | Q53 I1 |
| Date: | 2016–06 |
| URL: | http://d.repec.org/n?u=RePEc:hku:wpaper:201632&r=tra |
| By: | Michael Fritsch (School of Economics and Business Administration, Friedrich-Schiller-University Jena); Michael Wyrwich (School of Economics and Business Administration, Friedrich-Schiller-University Jena) |
| Abstract: | This paper summarizes the role of entrepreneurship in the East German transformation process that followed the breakdown of the socialist regime and subsequent unification with West Germany. The main aim of this exercise is to derive conclusions and recommendations for a potential unification of the Korean Peninsula. We demonstrate that the formation of new businesses played a significant role, while efforts to adapt formerly state-owned firms were much less successful. In East Germany, newly emerging firms created the major share of employment opportunities, while incumbent socialist firms shed vast amounts of labor or disappeared completely. The main implication for a potential unification of the Korean Peninsula is that policy should have a special focus on entrepreneurship. In particular, it should try to utilize and strengthen the entrepreneurial abilities of the North Korean population and to create favorable conditions for the emergence of prospering new businesses. |
| Keywords: | Entrepreneurship, transformation, East Germany, Korea |
| JEL: | P27 L26 P31 N14 O10 O43 O57 |
| Date: | 2016–05–10 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2016-008&r=tra |
| By: | Watanabe, Mariko; Kojima, Michikazu |
| Abstract: | Improving energy efficiency is an unarguable emergent issue in developing economies and an energy efficiency standard and labeling program is an ideal mechanism to achieve this target. However, there is concern regarding whether the consumers will choose the highly energy efficient appliances because of its high price in consequence of the high cost. This paper estimates how the consumer responds to introduction of the energy efficiency standard and labeling program in China. To quantify evaluation by consumers, we estimated their consumer surplus and the benefits of products based on the estimated parameters of demand function. We found the following points. First, evaluation of energy efficiency labeling by the consumer is not monotonically correlated with the number of grades. The highest efficiency label (Label 1) is not evaluated to be no less higher than labels 2 and 3, and is sometimes lower than the least energy efficient label (Label UI). This goes against the design of policy intervention. Second, several governmental policies affects in mixed directions: the subsidies for energy saving policies to the highest degree of the labels contribute to expanding consumer welfare as the program was designed. However, the replacement for new appliances policies decreased the welfare. |
| Keywords: | Energy, Consumers, Consumer surplus, Energy efficiency standard and labeling, Promotion policies |
| JEL: | F15 O14 O30 |
| Date: | 2016–05 |
| URL: | http://d.repec.org/n?u=RePEc:jet:dpaper:dpaper602&r=tra |