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Networks in Decline: Should Price Regulation Be Abolished?
International Journal of the Economics of Business ( IF 1.9 ) Pub Date : 2020-02-03 , DOI: 10.1080/13571516.2020.1718472
Paula Sarmento 1 , António Brandão 1
Affiliation  

Abstract Some utilities such as postal services, gas and electricity are facing significant decline in demand within several of their business segments. In this context, an important matter for regulators, firms and consumers is to consider if maintaining price regulation is welfare enhancing compared with the no regulation alternative. From a model with one firm that is simultaneously monopolist in a regulated market and is in competition in a liberalized market, we conclude that welfare can be higher when price regulation is preserved.

中文翻译:

网络衰落:价格管制应废除吗?

摘要一些公用事业,例如邮政,天然气和电力,在其几个业务部门中都面临着需求的大幅下降。在这种情况下,对于监管机构,企业和消费者而言,重要的事情是要考虑与无监管替代方案相比,维持价格监管是否能提高福利水平。从一个具有在管制市场中同时垄断并且在自由市场中处于竞争中的公司的模型,我们得出结论,只要保持价格管制,福利就可以更高。
更新日期:2020-02-03
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