The process of privatization of the electricity market involves the serious needs of the industry in order to increase productivity, attract private investment and partnerships. If current trends continue, the total investment needed for the industry is not to be able to be supplied from...

We study how consumer search affects pricing in markets with incumbents and entrants using panel data on German electricity retail markets. Consumers observe the baseline price of the incumbent and decide whether or not to search. Incumbent providers can price discriminate between searching and...