Montenegro: from equity towards efficiency

Effectiveness, Efficiency and Equity

Health is perceived as most precious good, and people feel its vulnerability. Societies have been trying to absorb, ameliorate or compensate consequences and health risks with varying emphasis and varying success. Due to the uniqueness of good health to a persons’ ability to live the life he or she wants, health care and performance of health care systems are under critical observation. In this...

Externalities, Efficiency and Equity

Can Equity Enhance Efficiency? Lessons from the Kyoto Protocol

This paper analyses the relationship between different equity rules and the incentives to sign and ratify a climate agreement. A widespread conjecture suggests that a more equitable ex-ante distribution of the burden of reducing emissions would provide the right incentives for more countries particularly big emitters to accept an emission reduction scheme defined within an international climate...

Equity, Efficiency and Increasing Returns

Efficiency and Equity Effects of Electricity Metering: Evidence from Colombia

I show that provision of electricity meters leads to a large reduction in electricity consumption over the first four months following meter installation. This is consistent with previous overconsumption by unmetered users facing a zero marginal price. However, it also reflects underconsumption by metered customers paying a marginal price exceeding marginal cost. I quantify these welfare effect...