Utilities are characterized by three features: first, their required technologies are commonly considered specific, sunk investments; second, they display aspects of natural monopoly, including economies of scale and scope in the physical provision of basic services, economies of scale in...

Latin American countries have not had much experience with competition policies in the past. Combined with restrictive trade policies, the absence of competition policies has often led to monopolized domestic markets. The strong trade liberalizations in Latin America during the 1980s and the...