La regolazione dei servizi pubblici in condizione di informazione asimmetrica

The aim of this paper is to review the main features of the new theory of public utilities regulation, theoretically assuming asymmetric information. The results considered imply a departure from first best outcomes and give way to a strategic interaction between firm and regulator. The role of the constraints of participation and incentive-compatibility faced by the regulator trying to improve efficiency is also highlighted. The institutional nature of the regulation prevails over the technological one and sheds new light on the issues concerning public intervention in this field.