A dynamic, structural asymmetric vector-error correction model is used to identify and estimate the demand and the supply functions for hourly, day-ahead electricity wholesale markets. The analysis provides new insights on a well-established but unresolved aspect concerning the extent of demand...

We specify a structural asymmetric vector error-correction model to identify and estimate the demand and supply functions in hourly day-ahead wholesale electricity markets. In doing so, we provide, inter alia, new insights into a well-established but unresolved issue concerning the extent of the...