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Recipes for Monopoly Regulation
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114 b
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This monograph was the winner of the Nestlé Prize 2000 for the best Austrian PhD-Thesis in the Social Sciences. As it is not possible to introduce competition into every single market, there will still remain monopolies - like in the telecom or energy sector - which have to be put under public regulation. This book offers a look into the latest developments in regulatory practice and theory. What shall a regulator do when she wants to give incentives for cost minimization to the regulated firm and at the same time efficient prices to the consumers? After a comparison of different 'real world' regulatory regimes, a simple theoretical model is used to assess the 'real world' approaches and design optimal policies. The theoretical 'recipes' are presented in a way which should be accessible to advanced students and 'real world' regulators.
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