This paper discusses the political, regulatory and economic factors that led to California's electricity crisis in 2000 and 2001. It begins with a discussion of the origins of California's electricity restructuring and competition programs. It then discusses the structure of the wholesale and...

This paper examines a variety of issues associated with the restructuring of Russian industry prior to privatization, from a transactions cost perspective. It is argued that none of the components of the industrial hierarchies inherited from the Soviet system corresponded closely to firms in a...

Our introduction to this compendium reviews Alfred Kahn’s academic and policy interests, his activities as a regulator and advisor to governments and companies, and the interactions between these aspects of his life as an economist. Although best known for his research on the economics of...

Title IV of the Clean Air Act Amendments of 1990 created a market for electric utility emissions of sulfur dioxide (SO2). Recent papers have argued that flaws in the design of the auctions that are part of this market have adversely affected its performance. These papers incorrectly assume that...

We examine the performance attributes of a merchant transmission investment framework that relies on market driven' transmission investment to provide the infrastructure to support competitive wholesale markets for electricity. Under a stringent set of assumptions, the merchant investment model...

This study explores the dynamic structure of the pay-for- performance relationship in CEO compensation and quantifies the effect of introducing a more complex model of firm financial performance on the estimated performance sensitivity of executive pay. The results suggest that current...

This is a speech given to the National Press Club, September 26, 2008 outlining the need for comprehensive reform of the electric power sector in the U.S. It outlines the centrality of the electricity sector to the economy and to any national energy and climate policies. The U.S. electric power...