IS EQUITY A CONSTRAINT? APPLICATIONS TO BLOCK RATE AND OTHER PRICING SCHEMES WITH HETEROGENEOUS USERS

Karina Schoengold and David Zilberman

No 19945, 2004 Annual meeting, August 1-4, Denver, CO from American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association)

Abstract: In this paper, we model the trade-off between equity and efficiency in a market for a resource when users of that resource are heterogeneous. We develop the analytical model, and show that under certain circumstances efficiency can be achieved in a manner that also reduces inequality. We also illustrate these results through the use of simulation methods.

Keywords: Research; Methods/Statistical; Methods (search for similar items in EconPapers)
Pages: 19
Date: 2004
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea04:19945

DOI: 10.22004/ag.econ.19945

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