| 来源类型 | Discussion paper |
| 规范类型 | 论文 |
| 来源ID | DP16033 |
| DP16033 The Welfare Effect of a Consumer Subsidy with Price Ceilings: The Case of Chinese Cell Phones | |
| Ying Fan; Ge Zhang | |
| 发表日期 | 2021-04-12 |
| 出版年 | 2021 |
| 语种 | 英语 |
| 摘要 | Subsidies to consumers may cause firms to charge higher prices, which offsets consumer benefits from subsidies. We study a subsidy program design that mitigates such price increases by making products' eligibility for a subsidy dependent on firms' commitment to price ceilings. To quantify the importance of such competition for eligibility, we develop a structural model and an estimation procedure that accommodate binding pricing constraints. We find that competition for eligibility mitigates the price increases arising from the subsidy and even leads to a reduction in prices for some products. It improves consumer and total surpluses while limiting government subsidy payments. |
| 主题 | Industrial Organization |
| 关键词 | Subsidy Price ceiling Competition for eligibility Cell phone |
| URL | https://cepr.org/publications/dp16033 |
| 来源智库 | Centre for Economic Policy Research (United Kingdom) |
| 资源类型 | 智库出版物 |
| 条目标识符 | http://119.78.100.153/handle/2XGU8XDN/545014 |
| 推荐引用方式 GB/T 7714 | Ying Fan,Ge Zhang. DP16033 The Welfare Effect of a Consumer Subsidy with Price Ceilings: The Case of Chinese Cell Phones. 2021. |
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