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| Author: | Bushnell, J.B. Mansur, E.T. |
| Title: | Consumption under noisy price signals: a study of electricity retail rate deregulation in San Diego |
| Journal: | Journal of Industrial Economics
2005 : DEC, VOL. 53:4, p. 493-513 |
| Index terms: | consumption deregulation electricity industry tariffs |
| Language: | eng |
| Abstract: | Utility services employ nonlinear tariffs that attempt to convey information on cost convexities This paper investigates how customers respond to noisy and volatile tariffs by measuring deregulated retail rate's impact on electricity consumption in San Diego. It is shown that rate structures relying upon lagged wholesale price averages produce delayed responses to scarcities or high costs. |
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