Restructuring in electric power sectors took a significant step backward in the summer of 2000 when wholesale and retail markets in California experienced staggering price increases that continued through June of 2001. During this period, California suppliers neared bankruptcy and one went into bankruptcy, as did the state’s cornerstone market institution, the California Power Exchange. While t...

During the summer (2000), wholesale electricity prices in California were approximately 500% higher than those during the same months in 1998-1999. The price hike was unexpected by many policy makers and individuals who were involved in the electric utility industry. They have been long wondering whether the electricity deregulation policy (1996) produced benefits of competition promised to con...

In this paper we present an analysis of the results of a study into wholesale (spot) electricity price forecasting with Support Vector Machines (SVM) utilising past price and demand data and Projected Assessment of System Adequacy (PASA) data. The forecasting accuracy was evaluated using Australian National Electricity Market (NEM), New South Wales regional data over the year 2002. The inclusio...

In this paper, we examine retailers’ dynamic pricing behavior in a competitive environment, using scanner data on the refrigerated orange juice category. We examine two factors that may result in lower retail prices compared to static optimum prices at categorylevel profit maximization: (i) retailers’ use of a loss leader strategy for national brands to attract more consumers, and (ii) retailer...

This paper investigates the e¤ects of replacing the consumer price index (CPI) with the wholesale price index (WPI) in the cointegrating international parity relationships found by Juselius and MacDonald (2000). Our empirical analysis outstandingly produced results similar to the ones obtained by Juselius and MacDonald, suggesting that the cointegration relationships in the international parity...

The purpose of the study is to develop comprehensive modeling alternatives for substitutes or compliments pricing effect and to compare the explanation power among alternatives. The first model is to explore the price level effect between substitutes or compliments. The second model is to investigate the price gap model between substitutes or compliments. The third model is to find the price ga...

abstract this study is an attempt to investigate the influence of targeting subsidies on price transmission pattern in iran's egg market. the targeting subsidies plan was imposed by 20 december 2010. using of daily price time series data, the study was conducted during december 2009 to october 2011. using ecm model, price transmission models were estimated for the two periods (e.g. before and a...

Generic drugs comprise an increasing share of total prescriptions dispensed in the U.S., rising from nearly 50 percent in 1999 to 75 percent in 2009. The generic drug market has typically been viewed at the wholesale level as a competitive market with price approaching marginal costs. However, the large presence of third party payers as final purchasers may distort prices at the retail level re...

In this paper, we study demand disruption in service supply chain with a client and a vendor. We find the positive demand disruption worse off the double marginalization under wholesale contracts. To address the challenge, we propose a two-part tariff contract under which, the client pays the vendor a fixed fee besides the wholesale price if the service rate was met. The results show the channe...