The efficiency of resource allocation is often analyzed in static frameworks with a focus on the cross-sectional heterogeneity in the willingness to pay among users. When the resource is durable in nature, the temporal heterogeneity could be important in assessing the efficiency properties of...

The efficiency of resource allocation is often analyzed in static frameworks with a focus on the cross-sectional heterogeneity in the willingness to pay among users. When the resource is durable in nature, the temporal heterogeneity could be important in assessing the efficiency properties of...

This paper studies the effectiveness, competition structure and welfare effect of the tariff imposed on imported cars in China's automobile market. Our empirical findings suggest that the tariff cannot switch entire demand for imported cars to domestic cars: the tariff decreases sales of...