Not logged in.

Contribution Details

Type Working Paper
Scope Discipline-based scholarship
Title Infrastructure Quality in Deregulated Industries: Is there an Underinvestment Problem?
Organization Unit
Authors
  • Stefan Buehler
  • Armin Schmutzler
  • Men-Andri Benz
Language
  • English
Institution University of Zurich
Series Name Working paper series / Socioeconomic Institute
Number No. 209
Date 2002
Abstract Text We investigate how various institutional settings affect a network provider’s incentives to invest in infrastructure quality. Under reasonable assumptions on demand, investment incentives turn out to be smaller under vertical separation than under vertical integration, though we also provide counter-examples. The introduction of downstream competition for the market can sometimes improve incentives. With suitable non-linear access prices investment incentives under separation become identical to those under integration.
Official URL http://www.econ.uzh.ch/wp.html
PDF File Download from ZORA
Export BibTeX
EP3 XML (ZORA)