Incentive Regulation of Networks. Concepts, definitions and models
(2015) Reflets et perspectives de la vie économique — Vol. Tome LIV, n° 2015/1, p. 103-132 (2015)
Files
rp2720.pdf
Closed Access - Adobe PDF
- 497.55 KB
Details
- Authors
- Abstract
- Incentive regulation for network and infrastructure is a field under fast deployment in Europe, following a first wave of fairly low-powered implementations of the IEM Directive. This paper provides an overview and a list of definitions of terms, models, and concepts used in incentive regulation since its modern rebirth in the United States in the 1980s. Based on a small-agency theoretical framework, I argue that incentive regulation has often been confused with unilateral rent transfers, both in low-powered cost-recovery regimes and in high-powered price caps. An annotated list of references to the commonly used deterministic and stochastic, parametric, and nonparametric cost models such as DEA, COLS, SFA, and SDEA is also provided.
- Affiliations
Citations
Agrell, P. J. (2015). Incentive Regulation of Networks. Concepts, definitions and models. Reflets et perspectives de la vie économique, Tome LIV(2015/1), 103-132. https://doi.org/10.3917/rpve.541.0103 (Original work published 2015)