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In the Weighted Average Cost of Capital (WACC) applied to the free cash flow (FCF), we assume that the cost of debt is the market, unsubsidized rate. With debt at the market rate and perfect capital markets, debt only creates value in the presence of taxes through the tax shield. In some cases,...
Persistent link: https://www.econbiz.de/10005134868
In this paper we study simple time series models and assess their forecasting performance. In particular we calibrate ARMA and ARMAX (where the exogenous variable is the system load) processes. Models are tested on a time series of California power market system prices and loads from the period...
Persistent link: https://www.econbiz.de/10005556334
overlapping regulatory structure and new entrant prohibitions have stifled new electricity sector investment. This paper … meet with greater success if it encourages and facilitates local private investment in small-scale electricity production …In India, the supply of electricity relies heavily on a virtually bankrupt and sometimes corrupt system of state …
Persistent link: https://www.econbiz.de/10005118875
In this paper we study two statistical approaches to load forecasting. Both of them model electricity load as a sum of …
Persistent link: https://www.econbiz.de/10005119116
Motivated by the new auction format introduced in the England and Wales electricity market, as well as the recent … debate in California, we characterize bidding behavior and market outcomes in uniform and discriminatory electricity auctions … the analysis of electricity auctions. In particular, we show that analogies with continuous share auctions are misplaced …
Persistent link: https://www.econbiz.de/10005135073
investigates the case of a large privatized firm subject to many policy constraints. The last steps of Telefonica's privatization … documented phenomenon both in this study and in the cross-country literature on privatization; e.g. political ends in … privatization, influence in appointments, golden shares) as the most visible part of such collusion. Liberalization and multi …
Persistent link: https://www.econbiz.de/10005413213
A 2002 survey of 1089 Czechs and 501 Slovaks, as well as a more limited survey of Hungary, and Poland, indicates that an individual may evade taxes in part if he believes he is receiving substandard government services. We suggest that an individual’s evaluation of the quality of government...
Persistent link: https://www.econbiz.de/10005408409
The two most prominent deadweight losses in public finance are the triangle loss from taxation and the rectangle loss from rent-seeking. This paper suggests that a third type of deadweight loss can rival these two in size and deserves detailed exploration. In the presence of the underground...
Persistent link: https://www.econbiz.de/10005412474
The estimation of the discount rate for an investment project in conditions of risk relies upon two crucial assumptions …
Persistent link: https://www.econbiz.de/10005413161
This paper investigates the feasibility of measuring the efficacy of programs designed to move welfare recipients into jobs using administrative records on individual program participation linked with state records on individual earnings. Like many states, Missouri collects quarterly earnings...
Persistent link: https://www.econbiz.de/10005076548