| dc.creator |
Meran, Georg |
|
| dc.creator |
von Hirschhausen, Christian R. |
|
| dc.date |
2006 |
|
| dc.date.accessioned |
2013-10-16T07:00:03Z |
|
| dc.date.available |
2013-10-16T07:00:03Z |
|
| dc.date.issued |
2013-10-16 |
|
| dc.identifier |
http://hdl.handle.net/10419/18452 |
|
| dc.identifier |
ppn:508572479 |
|
| dc.identifier.uri |
http://koha.mediu.edu.my:8181/xmlui/handle/10419/18452 |
|
| dc.description |
This paper analyzes a modified yardstick competition mechanism (MYC), where the yardstick employed consists of a tariff basket and total costs. This mechanism has a significant information advantage: the regulator ?only? needs to observe total costs and output of all firms. The modified yardstick competition mechanism can ensure a socially optimal outcome when allowing for spatial and second degree price discrimination, without increasing the informational requirements. We also introduce regulatory lags in the model. A systematic comparison between the results of traditional yardstick regulation and modified yardstick regulation is carried out. Finally, we discuss the applicability of the mechanism. |
|
| dc.language |
eng |
|
| dc.publisher |
Deutsches Institut für Wirtschaftsforschung (DIW) Berlin |
|
| dc.relation |
DIW-Diskussionspapiere 559 |
|
| dc.rights |
http://www.econstor.eu/dspace/Nutzungsbedingungen |
|
| dc.subject |
L11 |
|
| dc.subject |
L51 |
|
| dc.subject |
D40 |
|
| dc.subject |
ddc:330 |
|
| dc.subject |
regulation |
|
| dc.subject |
yardstick competition |
|
| dc.subject |
mechanism design |
|
| dc.subject |
information asymmetry |
|
| dc.title |
A Modified Yardstick Competition Mechanism |
|
| dc.type |
doc-type:workingPaper |
|