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Cournot Competition with Stranded Costs

Author

Listed:
  • Antonio, J.
  • Martin, G.

Abstract

Recovery of stranded costs is perhaps the most litigious issue encountering regulators in promoting competition in United States and European utility industries. We build a dynamic model of Cournot competition which takes into account a particular regulatory mechanism regularly employed in United States and also in Spain for settling stranded costs payments, the competitive transition charges (CTC).

Suggested Citation

  • Antonio, J. & Martin, G., 2001. "Cournot Competition with Stranded Costs," Papers 0107, Centro de Estudios Monetarios Y Financieros-.
    • Handle: RePEc:fth:cemfdt:0107
    as

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    More about this item

    Keywords

    REGULATION ; UTILITIES ; OLIGOPOLIES;
    All these keywords.

    JEL classification:

    • D40 - Microeconomics - - Market Structure, Pricing, and Design - - - General
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General
    • L90 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - General
    • K20 - Law and Economics - - Regulation and Business Law - - - General

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