Regulators must understand basic principles of regulation, to explain with credibility their decissions, to asess the universality of the proposals, to develop new solutions, etc. For the relevance of economic theory, economists must fight to include in their frameworks enough constraints, as...

The aim of this study is to estimate both stochastic and mathematical programming cost functions and frontier studies with the ADERASA’s database. ADERASA is a Latin American association of water regulators, which has done a systematic effort on data collection. Econometric and DEA techniques...

The purpose of this paper is to study the existence of differences in costs between pension fund administrators (PFAs) through the estimation of an econometric cost frontier for Argentina. Like in other eleven Latin American, and some other Central Asian and Eastern Europe countries, the social...

We estimate the Marginal Cost of Public Funds for Argentina using a computable general equilibrium (CGE) model, assessing the sensitivity of the results to the existence of alternative regulatory regimes (Price-Cap and Cost-Plus) for public utilities subject to regulation. Although the estimates...

“High-power” regulatory regimes were adopted in most of the reformed electricity distribution sectors. In particular, in a price cap regime with a RPI-X rule, it is commonly used a benchmarking exercise based on efficiency frontier estimations to determine X factors. DEA is a widely used...

In this paper, it was made an exhaustive survey of the literature related with cost and production frontiers in the water and sanitation sector. The survey shed light in order to determine the variables to choose in the model to be estimated in a further empirical estimation developed for the...

The traditional Ramsey pricing and the Efficient Component Pricing Rule for access charges to a facility are modified in this paper, taking into account the constraint that profits per unit of investment must be the same between entrants and the incumbent (a general equilibrium requirement). It...

During the last decade, Argentina has faced an extended process of reform of the Pension System. It had been implemented a mixed system with a private funds scheme (PFS) and a new public pay-as-you-go system. The PFS was based on personal contributions; it addressed the effect of demographic...

In this paper we develop a model to understand the interactions between optimal regulation and external credit constraints. If a big proportion of the regulated sector is owned by foreign investors, a credit-constrained country who wants to send profits abroad has to generate enough surplus in...

During the last years, there has been an increasing concern about the importance of competition policy as a mean to increase efficiency in the allocation of resources and the supply and variety of goods and services. Competition between firms provides powerful incentives for cost minimization...