We show that when a meaningful proportion of firms in an economy engage in tax avoidance strategies, the covariance between a firm’s cash flow and the market cash flows increases, thereby increasing a firm’s cost of capital. This negative externality is imposed on all firms in the economy, not just tax-avoiding firms. The negative externality results regardless of the level of uncertainty assoc...

In this paper smart operation of micro energy hub is presented. Energy hub system consists of certain energy hubs and interconnectors that are coordinated by energy hub system operator. An energy hub contains several converters and storages to serve demanded services in most efficient manner from available energy carriers. In this paper, the flexibility of energy delivery point is enhanced u...

This paper examines the cost structure particularly cost elasticities, returns to scale, marginal cost of production, technological progress, demand for factor of production, and factor substitution in publicly owned State Transport Undertakings (STUs) in India. To examine these issues, a translog cost function is estimated jointly with factor share equations subject to required coefficient res...

production subsidies, as a part of the strategy of economic growth of the agricultural sector, are of great importance around the world. subsidizing production inputs, particularly energy input, is another way of directing subsidy to the agricultural sector. in this research, production function of the agricultural sector was estimated using econometric methods and time series data. after calcu...

To what extent has Sub-Saharan Africa’s slow economic growth over the past five decades been due to price and trade policies that have discouraged production of agricultural relative to non-agricultural tradables? This paper uses a new set of estimates of policy distortions to relative prices to address this question econometrically. We first test if these policy distortions respond to economic...

Abstract We evaluate the impact of a price floor for alcohol introduced in Scotland 2018, using difference-in-differences strategy with England as control group. show that policy led to largest reductions units purchased among heaviest drinkers—the group who, at margin, are likely create externalities from drinking. The is well targeted heavy drinkers because they buy much greater fraction thei...

knowledge of energyconsumption has many uses in industry. factors that are energy dependent have already been studied hence decision making on them are easier. energy demand studies of industry helps us to learn factors that are responsive to this demand. therefore planners can use these collected data in their decision making using the above factors. another use of energy demand can be used as...

* The financial support of NSF grants SES91-12914 and SES92-23087 is gratefully acknowledged. ABSTRACT This paper develops a two-stage model of product design and safety signaling incorporating a parametric liability specification in a monopoly context. In the first stage, the firm engages in research and development in order to determine the safety of its product. We model the research and dev...

When product markets are monopolistic, an income redistributive policy affects social welfare not only through changes in disposable income but also through changes in product prices. In the optimal income tax formula, we then obtain a Pigouvian term correcting for this price externality. We provide sufficient conditions when the Pigouvian term is progressive among top earners. Moreover, if the...