Competition and Regulation Times. March 2006. Issue 19.

Abstract

• Title: Switching on water Abstract: One of the key themes in ISCR's new publication Alternating Currents or Counter-Revolution? Contemporary Electricity Reform in New Zealand is that the driving forces of New Zealand's electricity sector in the last 15 years have been little different from those of the preceding 80 years: politics, special interest groups, and water. Developing this, co-author Lew Evans argues that the physics, economics and politics of electricity share one common feature: their sensitivity to hydrology. Electricity prices set in New Zealand's wholesale electricity market provide real-time forecasts of what future rainfall is worth - but not all electricity customers value this information equally. And there are lessons here for managing water more generally. Author: Lewis Evans
• Title: Putting the real into real estate look again at your agent's effort Abstract: When they're selling a house, owners frequently hire a real estate agent to act on their behalf. But can they be sure the agent is acting in their interests? Recent US research suggests not. Rene Le Prou reports. Author: Rene Le Prou
• Title: Price regulation and investment: a two-way street Abstract: Much of the debate surrounding regulation focuses on investment, because investment is crucial to both prices and quantities in the long run. Regulation continues to evolve as regulators grapple with the challenges of regulating markets that have elements of competition or for which rate-of-return has failed. This has prompted recent research into the impact of regulation on investment. Graeme Guthrie outlines lessons for regulators and the firms they regulate. Author: Graeme Guthrie
• Title: Is uniformity of investor protection a shot in the arm...or the foot? Abstract: A growing body of international evidence suggests that thriving capital markets should include protections for minority investors against expropriation by dominant investors. But does this imply that all capital markets should adopt the same protections? And, supposing they did, would that improve the lot of investors? According to Richard Meade, the answers is no. Author: Richard Meade
• Title: What does it cost? The risks of output-based subsidy schemes Abstract: Subsidy schemes, even those linked to output, expose the provider to significant fiscal risks. Successful management of these risks requires that they be identified. It also requires that they be quantified - a technically challenging task. Glenn Boyle and Tim Irwin reflect on some of the issues in doing this. Author: Glenn Boyle, Tim Irwin
• Title: Healthcare lessons for telcos Abstract: Similarities between telecommunications and healthcare markets? Not at first glance. One deals in services provided through high-technology equipment; the other in highly customised people-focused services provided by highly skilled human capital. But Bronwyn Howell argues that underlying these superficial differences is a common and very significant similarity. Author: Bronwyn Howell
• Title: Companies act scores own goal Abstract: The Companies Act 1993 not only increased directors' fiduciary responsibilities; it also heightened perceptions about their liability. Alastair Marsden and Andrew Provost examine some consequences of this - and find one that may not have been intended. Author: Andrew Prevost, Alastair Marsden