Estimating recipient benefits and waste from lifeline electricity rates ( USA).

Attempts to answer the question, how much do recipients in the USA value given level of electricity lifeline subsidy? Lifeline electricity rates refer to a system of pricing whereby some customers receive subsidized rates. Attempts are made to estimate how much of the subsidy represents waste, where waste is the difference between the customer's valuation of the subsidy and an equivalent amount of cash. Indifference curve analysis is used to review the effect of subsidized prices on consumer choice. - K.Turner