Abstract This paper establishes relationships between static Nash equilibria and dynamic Markov perfect equilibria of tariff and quota retaliation games. In supermodular games where tariffs are strategic complements, the steady state of every, symmetric Markov perfect equilibrium must have lower tariffs than in the static equilibrium. If tariffs are strategic substitutes, tariffs in the dynamic...

Grid tariffs are the main source of income for distribution system operators (DSOs). Reductions of tariffs increase the cost pressure on DSOs; assuming they work efficiently tariff reductions potentially lead to a decrease of the electricity system's quality if no reliability of supply criteria are incorporated in the regulatory system. Our statistically analysis shows that the correlation betw...

MUCH attention has been devoted to the study of the structure of tariffs in industrial nations and its impacts on the level and composition of their imports from developing countries. Studies have identified two sources of bias against imports from developing countries inherent in tariff structures of industrial nations. First, tariffs used by industrial nations have been found to bear more hea...

Smart charging of electric vehicles (EVs) is an essential approach to reduce the costs and maximise benefits increasing numbers EVs being connected power grid. This article analyses 139 tariffs services for smart EV available in Europe. It finds that while market growing, there a lack consumer information on savings broader environmental it offers, such as integration renewables. Offers are als...

This paper studies the effects of tariffs on intra-firm trade. Building on the Antràs and Helpman (2004) North-South theoretical framework, the author shows that higher Northern tariffs reduce the incentives for outsourcing and offshoring, while higher Southern tariffs have the opposite effects. The author also shows that increased offshoring and outsourcing imply a descrease in the ratio of No...

Smart technologies and electric vehicles are supposed to efficiently use renewable resources by shifting loads and storing surplus electricity. Although several field tests with smart meters, dynamic pricing or electric vehicles are conducted, hardly any consumer has experienced a combination of these components. So far, neither consumer perceptions nor the effectiveness of these demand respons...

Tariffs can create allocative inefficiencies that reduce national income. There is thus a legitimate presumption that high average levels of tariffs are a poor policy choice. However, tariffs can also be used to raise national income provided the appropriate industry is chosen for protection. Examples include Paul Krugman’s (1987) model of learning-by-doing and Gene M. Grossman and Elhanan Help...

In communication, information, and other industries, three-part tariffs are becoming increasingly popular. A three-part tariff is defined by an access price, a usage allowance, and a marginal price for any usage in excess of the allowance. The nonlinear-pricing literature has focused primarily on two-part tariffs. We show that consumer behavior differs under three-part tariffs, in particular re...

We show that a relatively small menu of three-part tariffs (3PTs) can be more profitable and, sometimes, socially more desirable than a larger menu (more items) of two-part tariffs (2PTs). Often, a single three-part tariff can beat a sorting menu comprising multiple two-part tariffs. Moreover, this 3PT menu can be designed with less information about consumer preferences, relative to the menu o...