IDEAS home Printed from https://ideas.repec.org/a/ffe/journl/v6y2009i2p101-119.html
   My bibliography  Save this article

Consumer Welfare in the Deregulated Swedish Electricity Market

Author

Listed:
  • Jens Lundgren

    () (Umeå University, Sweden)

Abstract

The deregulation of the Swedish electricity market in 1996 affected both the market design and the pricing of electricity. Since 1996, the electricity price faced by consumers has increased dramatically. Due to the high electricity price and large company profits, a debate about the success of the deregulation has emerged. As such, the aim of this paper is to investigate whether or not the deregulation of the Swedish electricity market has improved consumers’ welfare. The theoretical framework is an equivalent variation method and the analysis is performed using monthly data for the period January 1996 to January 2007. The results indicate that deregulation has kept the power price (excluding taxes) down and increased consumer welfare in Sweden.

Suggested Citation

  • Jens Lundgren, 2009. "Consumer Welfare in the Deregulated Swedish Electricity Market," Frontiers in Finance and Economics, SKEMA Business School, vol. 6(2), pages 101-119, October.
  • Handle: RePEc:ffe:journl:v:6:y:2009:i:2:p:101-119
    as

    Download full text from publisher

    File URL: http://www.ffe.esc-lille.com/papers/Vol6-2ms190lundgren.pdf
    Download Restriction: no

    More about this item

    Keywords

    Equivalent variation; Consumer welfare; Power market;

    JEL classification:

    • D60 - Microeconomics - - Welfare Economics - - - General
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ffe:journl:v:6:y:2009:i:2:p:101-119. 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: (Sophie Bodo). General contact details of provider: http://www.ffe.esc-lille.com .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.