Journal of Regulatory Economics

, Volume 6, Issue 3, pp 321–328 | Cite as

An evaluation of incentive regulation: Corrections

  • Sanford V. Berg
  • Jinook Jeong
Article
  • 34 Downloads

Abstract

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.

Keywords

Heat Rate Public Finance Industrial Organization Economic Efficiency Small Data 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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References

  1. Berg, Sanford V., and Jinook Jeong. 1991. “An Evaluation of Incentive Regulation for Electric Utilities.”Journal of Regulatory Economics 3 (1): 45–55.Google Scholar
  2. Edison Electric Institute. 1987.Incentive Regulation in the Electric Utility Industry. 1–50.Google Scholar
  3. Graniere, Robert J., Daniel Duann and Youssef Hegazy. 1993.The Effectiveness of Heat Rate and Plant Availability Incentives: Electric Utilities. National Regulatory Research Institute, Draft Report (Summer): 1–103.Google Scholar
  4. Maddala, G. S., and L. Lee. 1976. “Recursive Model with Qualitative Endogenous Variables.”Annals of Economic and Social Measurement 5 (4): 525–545.Google Scholar

Copyright information

© Kluwer Academic Publishers 1994

Authors and Affiliations

  • Sanford V. Berg
    • 1
  • Jinook Jeong
    • 2
  1. 1.Department of EconomicsUniversity of FloridaGainesville
  2. 2.Department of EconomicsEmory UniversityAtlanta

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