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Type: Journal Articles Authors: Colin Mayer and John Vickers ISSN: Print: 0143-5671 Online: 1475-5890
Published in: Fiscal Studies, Vol. 17, No. 1, February 1996
Volume, issue, pages: Vol. 17, No. 1, pp. 1-18
The stock market, take-over bidders, executive pay setters, perhaps Stephen Littlechild himself, even last summer's weather, all seem to have been undermining RPI-X price-cap regulation. Until recently, price-cap regulation was regarded as demonstrably superior to US-style rate-of-return regulation, and regulatory reform in several countries has embraced price-cap regulation. But in Britain, where price-cap regulation originated, the case now appears to be less compelling: price-cap regulation is perceived by some as conferring unwarranted profits on the utilities and imposing unsustainable demands on regulators. As a consequence, many people believe that we are slipping inexorably into some form of profit regulation. Search |
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