Resource title

The Subtraction Rule and its Effects on Pricing in the Electricity Industry

Resource image

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Resource description

The paper deals with the subtraction rule, which has been proposed by the ?working group security of supply in service of the cartel offices of the federal republic and the states? as an instrument to identify improperly inflated network access charges in the electricity industry. We analyze firms? price responses and adaptations to this rule. The results suggest that the introduction of the subtraction rule would increase prices, regardless of whether network access charges are improperly inflated or not.

Resource author

Walter Elberfeld

Resource publisher

Resource publish date

Resource language

eng

Resource content type

text/html

Resource resource URL

http://hdl.handle.net/10419/24031

Resource license

Adapt according to the presented license agreement and reference the original author.