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We analyze the effect of price caps on equilibrium production and welfare in oligopoly under demand uncertainty. We … price cap and show that typically, the optimal price cap is bounded away from marginal cost. -- Demand uncertainty, Cournot …
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A coordinated roll-out of energy-demand reduction would create large external benefits in Europe. Lowering the price … managing extreme spot price levels by rationing. This calls for dynamic price level targets that depend on how demand …
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