Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions
A long line of research investigates whether the retail prices of electricity and natural gas send proper signals about scarcity in order to induce efficient consumption. Historically, regulated utilities have not designed tariffs that set marginal prices equal to marginal costs. Currently, some jur...
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| Format: | Article |
| Language: | en_US |
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American Economic Association
2014
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| Online Access: | http://hdl.handle.net/1721.1/87738 https://orcid.org/0000-0002-7654-8641 |
| _version_ | 1826188386739683328 |
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| author | Knittel, Christopher Roland |
| author2 | Sloan School of Management |
| author_facet | Sloan School of Management Knittel, Christopher Roland |
| author_sort | Knittel, Christopher Roland |
| collection | MIT |
| description | A long line of research investigates whether the retail prices of electricity and natural gas send proper signals about scarcity in order to induce efficient consumption. Historically, regulated utilities have not designed tariffs that set marginal prices equal to marginal costs. Currently, some jurisdictions are opening the retail sectors to competition via "retail choice." These new regimes replace imperfect regulation with imperfect competition as the process by which retail tariffs are formed. We discuss the challenges in evaluating the efficiency of tariffs and present evidence of how pricing has changed in markets with retail choice. |
| first_indexed | 2024-09-23T07:58:51Z |
| format | Article |
| id | mit-1721.1/87738 |
| institution | Massachusetts Institute of Technology |
| language | en_US |
| last_indexed | 2024-09-23T07:58:51Z |
| publishDate | 2014 |
| publisher | American Economic Association |
| record_format | dspace |
| spelling | mit-1721.1/877382022-09-30T01:26:08Z Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions Knittel, Christopher Roland Sloan School of Management Knittel, Christopher Roland A long line of research investigates whether the retail prices of electricity and natural gas send proper signals about scarcity in order to induce efficient consumption. Historically, regulated utilities have not designed tariffs that set marginal prices equal to marginal costs. Currently, some jurisdictions are opening the retail sectors to competition via "retail choice." These new regimes replace imperfect regulation with imperfect competition as the process by which retail tariffs are formed. We discuss the challenges in evaluating the efficiency of tariffs and present evidence of how pricing has changed in markets with retail choice. 2014-06-12T13:46:09Z 2014-06-12T13:46:09Z 2013-05 Article http://purl.org/eprint/type/JournalArticle 0002-8282 1944-7981 http://hdl.handle.net/1721.1/87738 Knittel, Christopher R. “Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions.” American Economic Review 103, no. 3 (May 2013): 344–349. © 2013 by the American Economic Association https://orcid.org/0000-0002-7654-8641 en_US http://dx.doi.org/10.1257/aer.103.3.344 American Economic Review Article is made available in accordance with the publisher's policy and may be subject to US copyright law. Please refer to the publisher's site for terms of use. application/pdf American Economic Association American Economic Association |
| spellingShingle | Knittel, Christopher Roland Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title | Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title_full | Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title_fullStr | Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title_full_unstemmed | Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title_short | Transportation Fuels Policy Since the OPEC Embargo: Paved with Good Intentions |
| title_sort | transportation fuels policy since the opec embargo paved with good intentions |
| url | http://hdl.handle.net/1721.1/87738 https://orcid.org/0000-0002-7654-8641 |
| work_keys_str_mv | AT knittelchristopherroland transportationfuelspolicysincetheopecembargopavedwithgoodintentions |