Benz, Men-Andri; Buehler, Stefan; Schmutzler, Armin - Institut für Volkswirtschaftslehre, … - 2000
framework, we investigate how various institutional settings affect investment incentives. We show that under reasonable … assumptions on demand, investment incentives are smaller under vertical separation than under vertical integration. We consider … two strategies for improving investment incentives under vertical separation. First, the introduction of competition for …