to invest compared to autarky. The investment levels remain inefficient though. With generation facilities over-investment … occurs sometimes, while systematic under-investment occurs for transportation facilities. Free-riding reduces the incentives … investment. …

-of-return regulation because investment decisions (what can be included in the rate base) are usually evaluated in a discretionary manner …This paper finds that coherent regulatory policies can boost investment in network industries of OECD economies. Rate …-of-return regulation is generally thought to result in overinvestment, while incentive regulation is believed to entail underinvestment …

’s investment of endogenous size. Using a real option approach in continuous time, we show that profit sharing does not affect a … total investment. We also evaluate the reduction in the firm’s value due to profit sharing, linking this reduction to the …

The paper studies the impact of government budget constraint in a pure adverse selection problem of monopoly regulation …. The government maximizes total surplus but incurs some cost of public funds. An alternative to regulation is proposed in …-post with the private firms. This ex-post contracting set-up allows more flexibility than traditional regulation where …

The paper aims at empirically investigating the relationship between regulation and the capital structure of the … as a response to previous physical capital investment with an ultimate goal of inducing higher rates. Theoretical models …) and gross investment (INV) in physical capital. The evidence accruing from a dynamic panel data estimation indicates an …

. Despite much has been said on the broad topic of reforms and regulation, a sector-specific insight is missing. We replicate …