Obtaining the Best from Regulation and Competition

251 Pages·2005·4.85 MB·English

by  Timothy J. Brennan (auth.), Michel A. Crew, Michael A. Crew, Menahem Spiegel (eds.)

OBTAINING THE BEST
FROM REGULATION AND
COMPETITION
Topics in Regulatory Economics and Policy Series
Michael A. Crew‚ Editor
Center for Research in Regulated Industries
Graduate School of Management‚ Rutgers University
Newark‚ New Jersey‚ U.S.A.
Previously published books in the series:
Crew‚ M.:
Regulation Under Increasing Competition
Crew‚ M.A. and Kleindorfer‚ P. R.:
Emerging Competition in Postal and Delivery Services
Cherry‚ B.A.:
The Crisis in Telecommunications Carrier Liability:
Historical Regulatory Flaws and Recommended Reform
Loomis‚ D.G. and Taylor‚ L. D.:
The Future of the Telecommunications Industry:
Forecasting and Demand Analysis
Alleman‚ J. and Noam‚ E.:
The New Investment Theory of Real Options and its
Implications for Telecommunications Economics
Crew‚ M. and Kleindorfer‚ P. R:
Current Directions in Postal Reform
Faruqui‚ A. and Eakin‚ K.
Pricing in Competitive Electricity Markets
Lehman‚ D. E. and Weisman‚ D. L.
The Telecommunications Act of 1996: The “Costs” of Managed Competition
Crew‚ Michael A.
Expanding Competition in Regulated Industries
Crew‚ M. A. and Kleindorfer‚ P. R.:
Future Directions in Postal Reform
Loomis‚ D.G. and Taylor‚ L.D.
Forecasting the Internet: Understanding the Explosive Growth of Data
Crew‚ M. A. and Schuh‚ J. C.
Markets‚ Pricing‚ and Deregulation of Utilities
Crew‚ M.A. and Kleindorfer‚ P.R.
Postal and Delivery Services: Pricing‚ Productivity‚ Regulation and Strategy
Faruqui‚ A. and Eakin‚ K.
Electricity Pricing in Transition
Lehr‚ W. H. and Pupillo‚ L. M.
Cyber Policy and Economics in an Internet Age
Crew‚ M. A. and Kleindorfer‚ P. R.
Postal and Delivery Services: Delivering on Competition
Grace‚ M. F.‚ Klein‚ R. W.‚ Kleindorfer‚ P. R.‚ and Murray‚ M. R.
Catastrophe Insurance: Consumer Demand‚ Markets and Regulation
Crew‚ M. A. and Kleindorfer‚ P. R.
Competitive Transformation of the Postal and Delivery Sector
OBTAINING THE BEST
FROM REGULATION AND
COMPETITION
edited by
Michael A. Crew
Center for Research in Regulated Industries
Rutgers Business School – Newark and New Brunswick
Rutgers University
Newark‚ New Jersey‚ U.S.A.
and
Menahem Spiegel
Center for Research in Regulated Industries
Rutgers Business School – Newark and New Brunswick
Rutgers University
Newark‚ New Jersey‚ U.S.A.
KLUWER ACADEMIC PUBLISHERS
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eBook ISBN: 0-387-23196-X
Print ISBN: 1-4020-7662-2
©2005 Springer Science + Business Media, Inc.
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CONTENTS
Speakers and Discussants vii
Sponsors ix
Preface and Acknowledgements xi
1. Regulation and Competition as Complements 1
Timothy J. Brennan
2. Bringing Competition to Telecommunications by Divesting 21
the RBOCs
Michael A. Crew‚ Paul R. Kleindorfer‚ and John Sumpter
3. Multi-Lot Auctions: Application to Regulatory Restructuring 41
David Salant
4. The Anatomy of Institutional and Organizational Failure 65
Karl A. McDermott and Carl R. Peterson
5. Coopetition in the Telecommunications Industry 93
Menahem Spiegel
6. Forward and Spot Prices in Electricity and Gas Markets: 109
Does “Storability” Matter?
J. Arnold Quinn‚ James D. Reitzes‚ and Adam C. Schumacher
7. Combinatorial Interlicense Competition: Spectrum 135
Deregulation Without Confiscation or Giveaways
Michael H. Rothkopf and Coleman Bazelon
8. Energy Trading Strategies in California: Market Manipulation? 161
Michael DeCesaris‚ Gregory Leonard‚ J. Douglas Zona
9. Economic Impacts of Electricity Outages in Los Angeles: 179
The Importance of Resilience and General Equilibrium Effects
Adam Rose‚ Gbadebo Oladosu‚ and Derek Salvino
10. Beyond Capture: A View of Recent U.S. Telecommunications 211
Regulation
Richard Simnett
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SPEAKERS AND DISCUSSANTS
Raj Addepalli‚ Manager - Staff ISO Team‚ New York State Department of
Public Service
Coleman Bazelon‚ Vice President‚ Analysis Group
Timothy Brennan‚ Professor of Policy Sciences and Economics‚ University
of Maryland Baltimore County
Roger Camacho‚ Assistant Corporate Rate Counsel‚ PSE&G
Pradip Chattopadhyay‚ Utility Analyst - Electric Division‚ New
Hampshire Public Utilities Commission
Richard N. Clarke‚ Director of Economic Analysis‚ AT&T
Michael A. Crew‚ Professor of Economics and Director – Center for
Research and Regulated Industries‚ Rutgers Business School‚ Rutgers
University
Michael DeCesaris‚ Associate‚ Cornerstone Research
Jeanne M. Fox‚ President – New Jersey Board of Public Utilities
John Garvey‚ Economic Analyst - Office of the Chief Economist‚ New
Jersey Board of Public Utilities
Fred Grygiel‚ Chief Economist‚ New Jersey Board of Public Utilities
Ralph Izzo‚ President and Chief Operating Officer‚ PSE&G
Paul R. Kleindorfer‚ Anheuser Busch Professor of Management Science
and Economics and Co-Director of Center for Risk Management‚
Wharton School‚ University of Pennsylvania
Gregory Leonard‚ Manager‚ Cornerstone Research
Stephen Levinson‚ Independent Consultant
Colin Loxley‚ Manager – Process Standards and Development‚ PSE&G
Karl McDermott‚ Vice President‚ NERA
Richard Michelfelder‚ Assistant Professor of Finance‚ School of Business –
Camden‚ Rutgers University
Gbadebo Oladosu‚ R&D Associate‚ Oak Ridge National Laboratory
Carl Peterson‚ Consultant‚ NERA
viii SPEAKERS AND DISCUSSANTS
J. Arnold Quinn‚ Economist‚ Office of Market Oversight & Investigation‚
Federal Energy Regulatory Commission
Mark Reeder‚ Chief of Regulatory Economics‚ New York State Department
of Public Service
James D. Reitzes‚ Principal‚ The Brattle Group
Adam Z. Rose‚ Professor of Geography‚ The Pennsylvania State University
Michael Rothkopf‚ Professor of Operations Research‚ Rutgers Business
School‚ RUTCOR‚ Rutgers University
David J. Salant‚ Co-CEO‚ Optimal Markets‚ Incorporated and Adjunct
Senior Research Scholar‚ Columbia University
Derek Salvino‚ Associate‚ ICF Consulting‚ Inc.
Adam C. Schumacher‚ Associate‚ The Brattle Group
Richard Simnett‚ Chief Scientist‚ Telcordia Technologies (TM)
Menahem Spiegel‚ Associate Professor and Associate Director of the Center
for Research and Regulated Industries‚ Rutgers Business School‚
Rutgers University
John Sumpter‚ Vice President - Regulatory‚ Pac-West Telecomm‚ Inc.
Steve Sunderhauf‚ Manager-Program Design and Evaluation‚ PEPCO
Nusha Wyner‚ Director‚ Energy Division‚ New Jersey Board of Public
Utilities
J. Douglas Zona‚ Senior Advisor‚ Cornerstone Research