This paper shows that, unlike what has been found in other papers, a hydro reservoir is an effective tool to exercise market power. Itsappealing as a tool is enhancedby the fact that there is no need to constrain total hydro production - a practice too easy to detect -; it suffices to distort...

Este trabajo argumenta que la liberalización del mercado spot de la industria eléctrica chilena no es una alternativa de política recomendable pues existe un amplio potencial para ejercer poder de mercado. En particular, Endesa distorsionaría la asignación in- tertemporal del agua forzando...