Regulatory Risk: Economic Principles and Applications to Natural Gas Pipelines and Other Industries
ISBN:
9781461364214
Auflage:
Softcover reprint of the original 1st ed. 1993
Verlag:
Springer US
Land des Verlags:
Deutschland
Erscheinungsdatum:
30.09.2012
Reihe:
Topics in Regulatory Economics and Policy
Format:
Softcover
Seitenanzahl:
345
Lieferung in 5-10 Werktagen
Versandkostenfrei ab 40 Euro in Österreich
It is common to assert that utility investors are compensated in the allowed rate of return for the risk of large disallowances, such as arise for investments found imprudent or not `used and useful'. However, this book develops a new theory of asymmetric regulatory risk that shows that infallible estimates of the cost of capital are sure to provide downward-biased estimates of the necessary allowed rates of return in the presence of such regulatory risks. The book uses the new theory of regulatory risk to understand recent developments in the risk of natural gas pipelines and other regulated industries.
Schlagwörter
