Efficient Retail Pricing in Electricity and Natural Gas Markets Academic Article

abstract

• 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.

authors

• Puller, Steven

published proceedings

• AMERICAN ECONOMIC REVIEW

altmetric score

• 6

author list (cited authors)

• Puller, S. L., & West, J.

citation count

• 28

complete list of authors

• Puller, Steven L||West, Jeremy

publication date

• January 2013

publisher

• American Economic Association  Publisher

published in

• The American Economic Review  Journal

keywords

• L11
• L94
• L95
• L98
• Q41

Digital Object Identifier (DOI)

• 10.1257/aer.103.3.350

URI

• https://hdl.handle.net/1969.1/179793

start page

• 350

end page

• 355

volume

• 103

issue

• 3

URL

• http://dx.doi.org/10.1257/aer.103.3.350