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Electricity Prices and Elections in Quebec

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Author Info

  • Jean-Thomas Bernard
  • Stephen Gordon
  • Josee Tremblay

Abstract

This study examines the role of elections in determining electricity prices in Quebec. The legislation governing Hydro-Quebec is used to develop a model incorporating its stated policy objectives and the partisan interests of the governing party. Bayesian methods are used to incorporate available nonsample information to test the restrictions imposed by the strategic pricing hypothesis. The data provide broad but limited support for the null. Electricity prices appear to be consistent with the behavior of governments who wish to manipulate electricity prices for partisan gain and who also wish to avoid detection.

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File URL: http://links.jstor.org/sici?sici=0008-4085%28199708%2930%3A3%3C505%3AEPAEIQ%3E2.0.CO%3B2-U
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Bibliographic Info

Article provided by Canadian Economics Association in its journal Canadian Journal of Economics.

Volume (Year): 30 (1997)
Issue (Month): 3 (August)
Pages: 505-25

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Handle: RePEc:cje:issued:v:30:y:1997:i:3:p:505-25

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Postal: Canadian Economics Association Prof. Steven Ambler, Secretary-Treasurer c/o Olivier Lebert, CEA/CJE/CPP Office C.P. 35006, 1221 Fleury Est Montréal, Québec, Canada H2C 3K4
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Web page: http://economics.ca/cje/
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Cited by:
  1. Min, Brian & Golden, Miriam, 2014. "Electoral cycles in electricity losses in India," Energy Policy, Elsevier, vol. 65(C), pages 619-625.
  2. Bernard, Jean-Thomas, 1999. "Le marché québécois de l’électricité : rétrospective et voies de l’avenir," L'Actualité Economique, Société Canadienne de Science Economique, vol. 75(4), pages 673-694, décembre.
  3. Goto, Mika & Karolyi, G. Andrew, 2004. "Understanding Electricity Price Volatility within and across Markets," Working Paper Series 2004-12, Ohio State University, Charles A. Dice Center for Research in Financial Economics.
  4. C. Robert Clark & Andrew Leach, 2007. "The Potential for Electricity Market Restructuring in Quebec," Canadian Public Policy, University of Toronto Press, vol. 33(1), pages 1-20, March.

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