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This paper analyzes theoretically and empirically how upstream markets are affected by deregulation downstream …. Deregulation tends to increase the level of uncertainty in the upstream market. Our theoretical analysis predicts that deregulated … plants. On the other hand, we also find that transaction costs may have increased as a consequence of deregulation. …
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, distributional effects have been more difficult to assess. In the electricity sector, deregulation has vastly increased information … impact of deregulation. This also means policies that change fuel prices can have substantially different effects on …
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