Energy Cost Pass-Through in US Manufacturing: Estimates and Implications for Carbon Taxes

• 成果类型: Article
• 署名作者: Ganapati, Sharat; Shapiro, Joseph S.; Walker, Reed
• 署名单位: Georgetown University; University of California System; University of California Berkeley; National Bureau of Economic Research
• 刊物名称: AMERICAN ECONOMIC JOURNAL-APPLIED ECONOMICS
• ISSN/ISSBN: 1945-7782
• DOI: 10.1257/app.20180474
• 发表日期: 2020
• 页码: 303-342
• 关键词: empirical-evidence; Price elasticity; industry; oligopoly; markups; TRADE; reallocation; PRODUCTIVITY; taxation; impacts

摘要

We study how changes in energy input costs for US manufacturers affect the relative welfare of manufacturing producers and consumers (i.e., incidence). We also develop a methodology to estimate the incidence of input taxes that accounts for incomplete pass-through, imperfect competition, and substitution among inputs. For the several industries we study, 70 percent of energy price-driven changes in input costs get passed through to consumers in the short to medium run. The share of the welfare cost that consumers bear is 25-75 percent smaller (and the share producers bear is larger) than models featuring complete pass-through and perfect competition would suggest.