The researchers developed a new way to estimate a model and studied how taxes affect consumer welfare. They found that taxes can change prices and impact people differently based on their preferences. In a study on electricity tax in Colombia, they discovered that most people have similar preferences, but there are some distinct groups. The results show that higher-income households may experience more negative effects from tax increases on electricity. Overall, the findings suggest that taxes on certain goods can have significant effects on people's well-being.