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Capital Input Decisions under Rate of Return Regulation

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  • Kent Fellows

    (University of Calgary)

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  • Kent Fellows, "undated". "Capital Input Decisions under Rate of Return Regulation," Working Papers 2014-37, Department of Economics, University of Calgary, revised 06 Nov 2014.
    • Handle: RePEc:clg:wpaper:2014-37
    as

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    File URL: https://econ.ucalgary.ca/sites/econ.ucalgary.ca.manageprofile/files/unitis/publications/1-4882886/Fellows_The_Capital_Structure_of_a_Firm_Under_Rate_of.pdf
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    References listed on IDEAS

    as
    1. Bougheas, Spiros & Worrall, Tim, 2012. "Cost padding in regulated monopolies," International Journal of Industrial Organization, Elsevier, vol. 30(4), pages 331-341.
    2. Katz, Michael L., 1983. "A general analysis of the Averch-Johnson effect," Economics Letters, Elsevier, vol. 11(3), pages 279-283.
    3. Auerbach, Alan J, 1983. "Taxation, Corporate Financial Policy and the Cost of Capital," Journal of Economic Literature, American Economic Association, vol. 21(3), pages 905-940, September.
    4. Abel, Andrew B, 1981. "Taxes, Inflation, and the Durability of Capital," Journal of Political Economy, University of Chicago Press, vol. 89(3), pages 548-560, June.
    5. Nongluk Buranabunyut & James Peoples, 2012. "An empirical analysis of incentive regulation and the allocation of inputs in the US telecommunications industry," Journal of Regulatory Economics, Springer, vol. 41(2), pages 181-200, April.
    6. Pressman, Israel & Carol, Arthur, 1971. "Behavior of the Firm under Regulatory Constraint: Note," American Economic Review, American Economic Association, vol. 61(1), pages 210-212, March.
    7. Schmalensee, Richard, 1989. "An Expository Note on Depreciation and Profitability under Rate-of-Return Regulation," Journal of Regulatory Economics, Springer, vol. 1(3), pages 293-298, September.
    8. Gibbons, Joel C, 1984. "The Optimal Durability of Fixed Capital When Demand Is Uncertain," The Journal of Business, University of Chicago Press, vol. 57(3), pages 389-403, July.
    9. Awerbuch, Shimon, 1995. "Market-based IRP: It's easy!!!," The Electricity Journal, Elsevier, vol. 8(3), pages 50-67, April.
    10. Fellows, G. Kent, 2011. "Negotiated settlements with a cost of service backstop: The consequences for depreciation," Energy Policy, Elsevier, vol. 39(3), pages 1505-1513, March.
    11. Goolsbee, Austan, 2004. "Taxes and the quality of capital," Journal of Public Economics, Elsevier, vol. 88(3-4), pages 519-543, March.
    12. Takayama, Akira, 1969. "Behavior of the Firm under Regulatory Constraint," American Economic Review, American Economic Association, vol. 59(3), pages 255-260, June.
    13. Cohen, Darrel S. & Hassett, Kevin A., 1999. "Inflation, Taxes, and the Durability of Capital," National Tax Journal, National Tax Association;National Tax Journal, vol. 52(1), pages 91-98, March.
    14. Rogerson, William P, 1992. "Optimal Depreciation Schedules for Regulated Utilities," Journal of Regulatory Economics, Springer, vol. 4(1), pages 5-33, March.
    15. Dale W. Jorgenson, 1972. "Investment Behavior and the Production Function," Bell Journal of Economics, The RAND Corporation, vol. 3(1), pages 220-251, Spring.
    16. El-Hodiri, Mohamed & Takayama, Akira, 1973. "Behavior of the Firm Under Regulatory Constraint: Clarifications," American Economic Review, American Economic Association, vol. 63(1), pages 235-237, March.
    17. Alan J. Auerbach, 1979. "Wealth Maximization and the Cost of Capital," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 93(3), pages 433-446.
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    More about this item

    Keywords

    Rate-of-Return; Cost-of-Capital; Depreciation; Yield Curve;
    All these keywords.

    JEL classification:

    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D92 - Microeconomics - - Micro-Based Behavioral Economics - - - Intertemporal Firm Choice, Investment, Capacity, and Financing

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