Diego Jiménez Hernández

Ronald I. McKinnon Memorial Fellowship for Graduate Students | 2017 - 2018 Academic Year

Should your Government Sell you Goods? Evidence from the Milk Market in Mexico

A long-standing question is why and how governments should intervene in a market to guarantee its population access to goods necessary for an adequate standard of living. This project studies the participation of the Mexican government in the milk market where a parastatal company sells low-cost milk to households with children, the elderly, and pregnant women. Reduced form and structural estimation are combined to address the welfare implications of the government selling goods. In addition, Hernandez compares the consumer welfare under this intervention to the welfare under alternative approaches, such as “fully subsidized” in-kind transfers, or “milk vouchers.”

Diego Jiménez Hernández, Department of Economics

Diego Jiménez Hernández is a PhD student in economics at Stanford University. His research interests lie at the intersection of industrial organization, development economics, and digitization. Prior to attending Stanford, he earned a BA in economics and an MA in economic theory at the Instituto Tecnológico Autónomo de México (ITAM) in Mexico City.

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