Articles on Subsidies

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A Renault Zoe charging. It’s currently one of the top-selling plug-in electric vehicles in Europe, but what would happen if subsidies dried up? Werner Hillebrand-Hansen/Wikipedia

Electric vehicles as an example of a market failure

Electric vehicles are taking off, but will demand remain sustainable once governments phase out subsidies? And as the "hidden costs" of the EV revolution emerge, some might get left behind…
Increasing prices to levels that reflect the costs of production sends a signal that electricity is a valuable commodity. www.shutterstock.com

Indonesia’s electricity subsidy reforms led to improved efficiency

Indonesia will freeze electricity prices until the end of 2019, a presidential election year. Research shows that earlier cuts to electricity subsidies led to improved efficiency in electricity use.
Canada’s NAFTA strategy is in big trouble. Prime Minister Justin Trudeau is seen here meeting with U.S. President Donald Trump in the Oval Office of the White House in February 2017. (THE CANADIAN PRESS/Sean Kilpatrick)

Rebooting Canada’s failed NAFTA strategy

Instead of treating the Trump administration as a campaign adversary, Canada needs to start working with the United States to renegotiate a NAFTA that serves both countries, not regimes like China.
Applications to list drugs on the PBS are usually submitted by the manufacturers of those drugs. from shutterstock.com

We don’t need to change how we subsidise ‘breakthrough’ cancer treatments

Some argue the current system of subsidising drugs in Australia needs changing to accommodate new cancer therapies. But two recent drug listings show the current system is working perfectly well.
Senate Majority Leader Mitch McConnell and other Republican leaders at the Capitol on June 6, 2017. J. Scott Applewhite/AP

How Obamacare may morph into Medicaid

Senate Republicans have been trying to find a way to get enough votes to repeal Obamacare. Here's how their delay could lead to a result they did not expect – more Medicaid.
Pres. Trump and HHS Secretary Tom Price in the Oval Office on March 24, 2017, the day the original version of the AHCA was pulled. Pablo Martinez Monsivais/AP

How Trump and Tom Price can kill Obamacare without the Senate

Pres. Trump has been saying for months that Obamacare will 'explode' on its own. He and HHS Secretary Tom Price have a lot of power to make it do so, thus making it appear that law was a failure.

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