We study the regulation of a utility firm which is active in a competitive unregulated sector as well. If the firm … and quantity competition) and also optimal regulation. Accounting for the several effects of regulation on the unregulated … market, we show the existence of an informational externality, in that regulation provides useful information to the rival …

We analyze the design of optimal regulation of a domestic monopolist that also competes in an unregulated foreign … market. We show how foreign activities by the regulated firm affect domestic regulation, consumers’ surplus and firm …