Price cap regulation

Sie wird häufig klassischen Regulierungsinstrumenten vorgezogen, da sie als vergleichsweise einfach, transparent und leicht implementierbar gilt. It is contrasted with rate-of-return regulation, in which utilities are permitted a set rate of return on capital, and with revenue-cap regulation . A form of economic regulation generally specific to the utility industry in the United Kingdom. For example, because a firm is typically allowed to keep any profits obtained via cost reductions relative to the price cap, in theory price cap regulation increases efficiency.

This differs from traditional regulation, in which the regulator typically allows price increases based on cost increases. However, a classic criticism of .

Infrastructure regulation and market reform. The regulation takes. Principles of price cap regulation. Viele übersetzte Beispielsätze mit price cap regulation – Deutsch-Englisch Wörterbuch und Suchmaschine für Millionen von Deutsch-Übersetzungen.

PRICE – CAP REGULATION meaning – PRICE – CAP REGULATION definition – PRICE – CAP REGULATION. Despite the popularity of price – cap regulation in practice, the economic literature provides limited guidance on how to determine the X factor, which is the rate at which inflation-adjusted output prices must fall under price-cap plans. In the policy debate, . One of the merits claimed for certain types of price – cap regulation is the possible long-run convergence of the prices of multi-product firms to Ramsey prices.

Typically such regulated firms define commodities by such devices as dividing the day into discrete periods, customers into age-groups, distances into ranges, and so . Despite the popularity of price cap regulation in practice, the economic literature provides relatively little guidance on how to determine the X factor, which is the rate at which inflation -adjusted output prices must fall under price cap plans. We review the standard principles that inform the choice of the X factor, and then . Shajarizadeh A(1), Hollis A(1). Author information: (1)University of Calgary, Department of Economics, Alberta, Canada.

This paper examines the effect of the . OBJECTIVE: A system of price – cap regulation has previously been suggested to address the market failure inherent to the tobacco industry. This would benefit public health directly (eg, by making it extremely difficult for the industry to sell cut -price cigarettes, or use price as a marketing strategy) and . In its analysis the FCC raises a host of cost -of-service regulation. Agency theory suggests that there is a trade-off in general between providing incentives for efficiency and. Перевод контекст apply price – cap regulation c английский на русский от Reverso Context: It may also be difficult to apply price – cap regulation uniformly to all operations of enterprises providing both monopolistic and competitive services, because of the risks of cross-subsidization and market foreclosure, as discussed . Both of these differences tend to . Price – cap regulation. Two major regimes for public utilities are regulated private ownership and public enterprise.

It is the focus of the debate on the merits of price cap (RPI-X) regulation.