Advanced Search
MyIDEAS: Login

Dual Measures of Monopoly and Monopsony Power: An Application to Regulated Electric Utilities

Contents:

Author Info

  • Atkinson, Scott E
  • Kerkvliet, Joe
Registered author(s):

    Abstract

    The inefficiency from monopoly pricing, monopsony pricing, and other institutional factors should be simultaneously estimated to avoid misspecification. Estimation of a behavioral profit function, where input and output shadow prices may diverge from their market values, allows unbiased simultaneous estimation of inefficiencies if its normalized form is employed. In an application to electric utilities consuming western coal, the authors cannot reject the hypothesis that utilities act as price-takers in output markets and find weak and statistically insignificant evidence of fuel-adjustment-clause bias. Strong evidence is found of monopsony behavior in the market for western coal and its transportation. Copyright 1989 by MIT Press.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://links.jstor.org/sici?sici=0034-6535%28198905%2971%3A2%3C250%3ADMOMAM%3E2.0.CO%3B2-K&origin=repec
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by MIT Press in its journal Review of Economics & Statistics.

    Volume (Year): 71 (1989)
    Issue (Month): 2 (May)
    Pages: 250-57

    as in new window
    Handle: RePEc:tpr:restat:v:71:y:1989:i:2:p:250-57

    Contact details of provider:
    Web page: http://mitpress.mit.edu/journals/

    Order Information:
    Web: http://mitpress.mit.edu/journal-home.tcl?issn=00346535

    Related research

    Keywords:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Zhiqiang Liu, 2001. "Efficiency and Firm Ownership: Some New Evidence," Review of Industrial Organization, Springer, vol. 19(4), pages 481-496, December.
    2. Sjöström, Magnus, 2004. "Biofuels and Market Power - The Case of Swedish District Heating Plants," UmeÃ¥ Economic Studies 634, Umeå University, Department of Economics.
    3. Carlson, Curtis & Burtraw, Dallas & Cropper, Maureen & Palmer, Karen L., 1998. "Sulfur dioxide control by electric utilities : what are the gains from trade?," Policy Research Working Paper Series 1966, The World Bank.
    4. Sjöström, Magnus, 2004. "Factor Demand and Market Power," UmeÃ¥ Economic Studies 633, Umeå University, Department of Economics.
    5. Brännlund, Runar & Marklund, Per-Olov & Sjöström, Magnus, 2001. "Evaluating market efficiency without price data. The Swedish market for wood fuel," UmeÃ¥ Economic Studies 576, Umeå University, Department of Economics.
    6. Lynk, E. L., 1995. "Testing efficiency in intermediate regulated industries," Economics Letters, Elsevier, vol. 49(3), pages 323-328, September.
    7. Guido Cella & Giovanni Pica, 2001. "Inefficiency Spillovers in Five OECD Countries: An Interindustry Analysis," Economic Systems Research, Taylor & Francis Journals, vol. 13(4), pages 405-416.
    8. Brännlund, Runar & Lundgren, Tommy, 2001. "A Dynamic Analysis of Interfuel Substitution for Swedish Heating Plants," UmeÃ¥ Economic Studies 550, Umeå University, Department of Economics.
    9. Kellie Curry Raper & H. Alan Love & C. Richard Shumway, 2000. "Determining market power exertion between buyers and sellers," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(3), pages 225-252.
    10. Ronchi, Loraine, 2006. "Fairtrade and market failures in agricultural commodity markets," Policy Research Working Paper Series 4011, The World Bank.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:tpr:restat:v:71:y:1989:i:2:p:250-57. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Karie Kirkpatrick).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.