Competition and Regulation Times. November 2008. Issue 27

Abstract

• Title: Tollbooths for the internet highway? Abstract: Net neutrality regulations have been a hotly debated topic, discussed with passion by both proponents and opponents alike. The discussion so far, however, has been rich in rhetoric but short on rigorous economic analysis. Jay Pil Choi uses queuing theory to examine the effect of net neutrality regulation on internet service providers' investment incentives. Author: Jay Choi
• Title: Gender wars: optimism, self-confidence and attitudes to risk Abstract: It's often claimed that 'men are from mars and women are from Venus'. among other dissimilarities, men and women exhibit different patterns in risk-taking behaviour such as driving and economic decisionmaking: men tend to drive faster and invest more in risky financial assets than women do. Ben Jacobsen, John Lee and Wessel Marquering examine possible explanations for these phenomena. Author: Ben Jacobsen, John Lee and Wessel Marquering
• Title: Ethics and economics Abstract: Farmers and laboratory scientists are increasingly aware of growing consumer concerns about animal welfare. These trends represent, at least in part, an emerging belief that animals have legitimate personal concerns - what might be called 'animal interests'. Historically, however, economics has had little to say about the interests of animals. Glenn Boyle ponders how this might be remedied, and the implications of doing so. Author: Glenn Boyle
• Title: Growth potential of Maori assets enhanced by changing the 'rules of the game' Abstract: 2008 has seen a surge in the pace of Treaty settlements. On 25 September alone, three settlement Acts were passed into law and two settlement Bills introduced into Parliament; September and October also witnessed the signing of several settlement agreements. Richard Meade explains why such settlements have substantial implications for the economic growth potential of Maori-owned assets. Author: Richard Meade
• Title: Over promise ... under deliver? Abstract: A new regulatory regime applying to electricity lines businesses (ELBs) will ocme into force on 1 April 2009. These reforms are set out in the Commerce Amendment Act, which passed its third reading on 5 September 2008. Although many regulated entitites - including most of the ELBs - have welcomed the amendments, Mark Berry and Lewis Evans believe these may ultimately prove disappointing. Author: Lewis Evans, Mark Berry
• Title: Poles apart: telecommunications markets in Finland and New Zealand Abstract: How can the same industry in two very similar countries adopt the same technology at the same time and nurture the development of two completely different sets of institutional and regulatory arrangements? Bronwyn Howell takes a trip through the telecommunications histories of Finland and New Zealand. She finds that initial investment conditions have a long-lasting impact on market evolution and participant interactions. Author: Bronwyn Howell
• Title: Yes! Regulation does affect a takeover target's returns Abstract: The optimal level of takeover regulation is an ongoing subject of debate. While it's important to have sufficient regulation in place to protect the interests of minority shareholders, regulation that is too strict will leave bidders unable to extract an appropriate return for their efforts - which will deter value-creating takeover activity and allow under-performing management to become entrenched. Ben Marshall and Hamish Anderson outline some recent research. Author: Hamish Anderson