frictions, both parties in a match are partially locked-in when they bargain over the joint surplus from their sunk investments … case of investments in homogenous capital only the agents on the short side acquire ownership of capital. There is always …

's implementation of incentive regulation in 2009 has a negative impact on total investment, and that firms increase their investments … with the German data. The results show that investments increase after incentive regulation, and that the institutional … investments increase in the base year when the rate base is determined for the following regulatory period. We conclude that a …