Table 1
Model parameters and symbol definitions.
| Typology | Notation | Symbol definitions |
|---|---|---|
| Parametric | a | Automobile market size |
| θ | Proportion of potential demand for NEVs | |
| Pei (Pfi) | Price of NEVs (FVs) | |
| c | Unit production cost of NEVs | |
| g | Consumer low-carbon preferences | |
| h | Consumer range preferences | |
| γ | R&D efficiency | |
| ηi (βi) | Technology spillovers level for NEVs (FVs) | |
| λ | NEVs credits ratio requirements | |
| φ | Actual fuel consumption of FVs | |
| δ | Standard fuel consumption of FVs | |
| μ | Difference between actual and standard values | |
| n | NEVs credits accounting factor | |
| p0 | Credit price of NEVs | |
| πMi | Profits of automakers Mi | |
| CS | Consumer surplus | |
| WS | Social welfare | |
| Decision variables | xei (xfi) | Innovative achievements/R&D investments |
| qei (qfi) | Production of NEVs (FVs) | |
| s | Government subsidy rate | |
| Model definition | N | The scenario without government subsidies |
| Y | The scenario with government subsidies |
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