An Evaluation of Incentive Regulation: Corrections
This note re-estimates our model of the determinants and impacts of cost component incentive regulation using an improved data set which avoids double-counting firm observations. It also tests alternative specifications of the relationships. While cost component incentive regulation improves engineering efficiency (heat rates), it does not improve economic efficiency. Thus, our earlier findings are not altered by the smaller data set or by model respecification. Copyright 1994 by Kluwer Academic Publishers
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