The Green Tax Revolution

Climate crisis is becoming higher on the agenda of the decision makers of the world. A huge amount of resources have been dedicated to green projects, however far less emphasis has been put on tax policy opportunities. Carbon pricing can increase the burden of CO2 producers, but this does not appear to be enough. We need a Green Tax Reform which focuses on the Pigouvian approach and can correct the distortions of different climate hurting activities. Through tax policy tools, the price structure should be drastically changed and serious incentives should be provided to change the behaviours of the consumers and producers to achieve green policy goals.

Behavioural Change in Green Transportation: Micro-Economics Perspectives and Optimization Strategies

The increasing demand for Electric Vehicle (EV) charging is putting pressure on the power grids and capacities of charging stations. This work focuses on how to use indirect control through price signals to level out the load curve in order to avoid the power consumption from exceeding these capacities. We propose mathematical programming models for the indirect control of EV charging that aim at finding an optimal set of price signals to be sent to the drivers based on price elasticities. The objective is to satisfy the demand for a given price structure, or minimize the curtailment of loads, when there is a shortage of capacity. The key contribution is the use of elasticity matrices through which it is possible to estimate the EV drivers’ reactions to the price signals. As real-world data on relating the elasticity values to the EV driver’s behaviour are currently non-existent, we concentrate on sensitivity analysis to test how different assumptions on elasticities affect the optimal price structure. In particular, we study how market segments of drivers with different elasticities may affect the ability of the operator to both handle a capacity problem and properly satisfy the charging needs.

Location-Price Game in a Dual-Circle Market with Different Demand Levels

This paper researches a location-price game in a dual-circle market system, where two circular markets are interconnected with different demand levels. Based on the Bertrand and Salop models, a double intersecting circle model is established for a dual-circle market system in which two players (firms) develop a spatial game under price competition. By a two-stage (location-then-price) structure and backward induction approach, the existence of price and location equilibrium outcomes is obtained for the location game. Furthermore, by Ferrari method for quartic equation, the location equilibrium is presented by algebraic expression, which directly reflects the relationship between the equilibrium position and the proportion factor of demand levels. Finally, an algorithm is designed to simulate the game process of two players in the dual-circle market and simulation results show that two players almost reach the equilibrium positions obtained by theory, wherever their initial positions are.

Stock Return Autocorrelation and Individual Equity Option Prices

This study demonstrates empirically the impact of stock return autocorrelation on the prices of individual equity option. The option prices are characterized by the level and slope of implied volatility curves, and the stock return autocorrelation is measured by variance ratio and first-order serial return autocorrelation. Using a large sample of U.S. stocks, we show that there is a clear link between stock return autocorrelation and individual equity option prices: a higher stock return autocorrelation leads to a lower level of implied volatility (compared to realized volatility) and a steeper implied volatility curve. The stock return autocorrelation is more important in explaining the level of implied volatility curve for relatively small stocks. The relation between stock return autocorrelation and option price structure is more pronounced when market is volatile, especially during financial crisis. The stock return autocorrelation is more important in explaining the level of implied volatility curve for relatively small stocks. Thus, stock return autocorrelation can help differentiate the price structure across individual equity options.

Non-neutrality of money

This chapter summarises the key ingredients of Schumpeter's monetary theory. While his writing on monetary matters is spread across multiple sources, one may summarise his endeavour in three integrative steps: First, he elaborated the claim theory into a general vision of money as a purely symbolic system of social accounts. Second, he put the quantity theory into a straightjacket of diminished relevance and refocused it in the income-expenditure approach. Finally, he applied further threads from the heterodox literature, most notably the notions of endogenous credit and forced savings, in order to link money with the real economy. Thus, lifting the veil of money and rebutting the postulate of its neutrality, his main assertion was that the endogenous supply of credit renders changes in the price structure an important driver of economic development.

METHODICAL APPROACHES TO MANAGING THE EFFICIENCY OF ENTERPRISE RESOURCES

building organizations on the basis of economic-mathematical models are offered. The phenomena, related to supply and storage of materials, their production use and impact of material supply on the financial structure of capital, occurred in the enterprise, are determined by means of the analysis of the production functions of dependence of return of fixed assets on material resources, and it was also investigated how such phenomena affect the return on fixed assets. On this basis, the recommendations how to improve the management of materials supply in order to provide the fullest use of fixed assets are developed. Based on the study of the value of the coefficients of linear models of dependence of the financial indicators of the enterprise activity on the value of material stock, the price of a unit of stock, the types of stock, on which the profitability of the enterprise significantly depends are determined, and it is also defined what economic, financial, organizational and technological regularities are covered by these dependencies. An economic interpretation of such dependencies is given and the recommendations for improving stock management and the material supply structure are developed. The qualitative analysis of dependence of the financial indicators of the enterprise activity on the value of the stock and its cost is carried out. The recommendations for improving the management of the size and the price structure of the most important material stock are developed

A Panel Data Estimation of Domestic Water Demand with IRT Tariff Structure: The Case of the City of Valencia (Spain)

In urban water provisioning, prices can improve efficiency, contributing to the achievement of the environmental objective. However, household responses to price changes differ widely based on the household characteristics. Analyses performed at the aggregate level ignore the implications of water demand incentives at the individual household level. A large data sample at the household level enables estimation of econometric models of water demand, capturing the heterogeneity in domestic consumption. This study estimated the domestic water demand in the city of Valencia and its elasticity, along with the demands of its different districts and neighbourhoods (intra-urban scale analysis). Water price structure in Valencia is completely different from that of other Spanish cities: it is a price structure of increasing volume (increasing rate tariffs, IRT). For this estimation, from a microdata panel at the household level, the demand function with average prices for the period 2008–2011 was estimated using panel data techniques including a fixed effect for each neighbourhood. The domestic water demand elasticity at the average price in Valencia was estimated at −0.88 (which is higher than that estimated for other Spanish cities). This value indicates an inelastic demand at the average price of the previous period, which can cause consumers to overestimate the price and react more strongly to changes.

Price structures for electricity supply and potential consequences for building services systems

Policies to reduce carbon emissions are leading to substantial changes in the demand for electricity and to the structure of electricity supply systems, which will alter the cost structure of electricity supply. This can be expected to result in corresponding changes to the price structure faced by customers. This note is an initial exploration of how possible new price structures may impact on HVAC system and building design and use. Changes in the price structure of electricity supply (separately from changes in price levels) can significantly affect the cost-effective design and operation of building services systems; especially of heating and cooling systems. The nature and implications of these changes can have important implications for future system design and operation.

Benchmarking the Performing Arts: a Price Level Index for Publicly Funded German Music Theatres

There is a constantly growing gap between rising fixed costs and stagnating revenues in German publicly funded music theatres (PGMTs). The structural crisis can be assumed to be even worse after a restart of the performing arts following the COVID-19 pandemic. The potential of pricing policy, which has been fundamentally verified in literature, is not systematically exploited in PGMTs. The data situation in Ger-many regarding theatres in general is quite comprehensive and not comparable to the rest of the world. But one important key figure is missing for implementing a more revenue-oriented price policy: the av-erage price level of PGMTs. Although there already exist quite comprehensive studies by Schößler (2016) on pricing in publicly funded German theatres (PGTs) and by Ozeghov and Ozhegova (2018) on price discrimination, there is no assessment of the general price structure for PGMTs. The goal of this study is to fill this gap in research, giving an average price level for PGMTs as well as introducing a PGMT index as a basis for a more differentiated price policy and benchmarking.