Showing 1 - 10 of 203
This paper addresses the issue of how regulatory constraints affect firm s investment choices when the firm has an option to delay investment. The RPI-x rule is compared to a profit sharing rule, which increases the x factor in case profits go beyond a given level. It is shown that a pure price...
Persistent link: https://www.econbiz.de/10011507879
In this article we analyse the effects of different regulatory schemes (price cap and profit sharing) on a firm s investment of endogenous size. Using a real option approach in continuous time, we show that profit sharing does not affect a firm s start-up decision relative to a pure price cap...
Persistent link: https://www.econbiz.de/10011509471
nondiscrimination regulation that forces the ISP to provide an equal quality upgrade to both CPs, however, can reduce the ISP …
Persistent link: https://www.econbiz.de/10012158085
the same time, we model an incumbent's decision problem under a threat of regulation in a game-theoretical context. The … decision whether to invest or not depends on the probability of regulation and its assumed impact on investment returns … best set. This price is below a non-regulated profit maximising price, since the incumbent tries to circumvent regulation …
Persistent link: https://www.econbiz.de/10010263483
Power market integration is analyzed in a two countries model with nationally regulated firms and costly public funds. If generation costs between the two countries are too similar negative business-stealing outweighs efficiency gains so that following integration welfare decreases in both...
Persistent link: https://www.econbiz.de/10010283608
Electricity distribution operators are regulated as monopolies around the world. Incentive regulation is further … applied to relate their allowed revenues (revenue cap) to cost efficiency and investment. Incentive regulation varies cross … distributors by incentive regulation. Using the long time series data, we evaluated the impact of the Norwegian regulation regimes …
Persistent link: https://www.econbiz.de/10011886982
regulation and recently imposed fiber access regulations. Our main finding is that more stringent access regulations for both the …
Persistent link: https://www.econbiz.de/10011640580
This paper empirically investigates the connection between corruption and crime. Such linkage has been often … underestimated because corruption has been often analyzed as a white-collar crime. In fact it is not characterized by violence …. Recently a theoretical connection has been suggested to highlight that corruption and crime can be considered strategic …
Persistent link: https://www.econbiz.de/10011108194
Persistent link: https://www.econbiz.de/10011595355
-market effects come about and to assess their policy relevance. The analytic strategy of this paper relies upon the stochastic real …
Persistent link: https://www.econbiz.de/10010271923