Research Article

The Orchestrating Role of Carbon Subsidies in a Capital-Constrained Supply Chain

Table 1

List of notations.

CategoriesNotationsDescriptions

ParametersInitial market potential demand
Price sensitivity to demand quantity
Random variable, and
Coefficient that describes the consumer’s low-carbon preference
Carbon emission abatement cost
Carbon subsidy per abatement unit
Interest rate charged by the bank
Unit product cost
carbon subsidy share
investment cost share
Bargaining power of manufacturer
Side-payment
Profit of in contract
Decision variablesWholesale price in supply chain
, Order quantity and carbon emission abatement level in supply chain