Seminario Applied

Stein-Erik Fleten (with M. Johansen, A. Pichler and C. J. Ullrich)

Norwegian University of Science and Technology


Seminar 1 – 11:30


This paper examines empirically how regulatory uncertainty, strategic interactions and other factors affect managers decisions to switch between operating and stand-by states for peaking electric power generators. We use structural estimation, where the switching decisions are assumed to be governed by a real options model. We focus on the power markets in the Northeastern United States, where annual observations of such decisions are available. The results indicate that regulatory uncertainty significantly increases firms’ perception of switching costs.

Deja un comentario

Tu dirección de correo electrónico no será publicada. Los campos requeridos están marcados *

Puedes usar las siguientes HTML etiquetas y atributos: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

borrar formularioEnviar

Este sitio usa Akismet para reducir el spam. Aprende cómo se procesan los datos de tus comentarios.