Clifton, Judith and Díaz-Fuentes, Daniel and Fernández Gutiérrez, Marcos and Revuelta, Julio (2011): Is Market-Oriented Reform Producing a “Two-Track” Europe? Evidence from Electricity and Telecommunications.
Preview |
PDF
MPRA_paper_33018.pdf Download (201kB) | Preview |
Abstract
The European Commission has formally recognised that adequate provision of basic household services, including energy, communications, water and transport, is key to ensuring equity, social cohesion and solidarity. Yet little research has been done on the impact of the reform of these services in this regard. This article offers an innovative way to explore such questions by analysing and contrasting stated and revealed preferences on citizen satisfaction with and expenditure on two services, electricity and telecommunications, in two large countries, Spain and the United Kingdom. In telecommunications, but to a much lesser extent in electricity, we find evidence that reform has led to a “two-track” Europe, where citizens who are elderly, not working or the less-educated behave differently in the market, with the result that they are less satisfied with these services than their younger, working, better-educated, counterparts.
Item Type: | MPRA Paper |
---|---|
Original Title: | Is Market-Oriented Reform Producing a “Two-Track” Europe? Evidence from Electricity and Telecommunications |
Language: | English |
Keywords: | Public Service, Electricity, Telecommunications, Revealed preferences, Consumer Behaviour, Vulnerable Consumers. European Union. Regulation |
Subjects: | L - Industrial Organization > L9 - Industry Studies: Transportation and Utilities > L96 - Telecommunications D - Microeconomics > D1 - Household Behavior and Family Economics > D18 - Consumer Protection D - Microeconomics > D0 - General > D03 - Behavioral Microeconomics: Underlying Principles L - Industrial Organization > L5 - Regulation and Industrial Policy > L51 - Economics of Regulation D - Microeconomics > D1 - Household Behavior and Family Economics > D12 - Consumer Economics: Empirical Analysis L - Industrial Organization > L9 - Industry Studies: Transportation and Utilities > L94 - Electric Utilities L - Industrial Organization > L9 - Industry Studies: Transportation and Utilities > L98 - Government Policy |
Item ID: | 33018 |
Depositing User: | Daniel Diaz-Fuentes |
Date Deposited: | 27 Aug 2011 14:44 |
Last Modified: | 30 Sep 2019 12:04 |
References: | ARMSTRONG M. and SAPPINGTON D., 2006, “Regulation, Competition and Liberalization”, Journal of Economic Literature, XLIV, 325-366. AROCENA P., 2003, “The Reform of the Utilities Sector in Spain”, in Ugaz, C. and Waddams Price, C., eds., Utility Privatization and Regulation: A Fair Deal for Consumers?, Northampton, Edward Elgar. AUSTRALIAN GOVERNMENT, 2007, Behavioural Economics and Public Policy, Australian Government Productivity Commission, Melbourne, August 8-9. BACCHIOCCHI, E. FLORIO, M. and GAMBARO, M. 2008, “Telecom Prices, regulatory reforms and consumers’ satisfaction: evidence for 15 EU countries”, DEAS Working Papers, 2008-10, Dipartimento di Scienze Economiche Aziendali e Statistiche, Universitá degli Studi di Milano. BANCE P., 2007, “Liberalization of European telecommunications: sectoral dynamics and structural mutations”, Annals of Public and Cooperative Economics, 78 (3), 331-351. BAUBY P., 2008, “L’européanisation des services publics”, Télescope, 14 (1), 11-22. BENNETT M., COOKE D. and WADDAMS PRICE C., 2002, “Left Out in the Cold? New Energy Tariffs, Low-Income Households and the Fuel Poor”, Fiscal Studies, 23 (2), 167-194. BERG N., 2010, “Behavioral Economics”, in Free, R. C., ed., 21st century economics: a reference handbook, Thousand Oaks, SAGE Publications. BOGNETTI G. and OBERMANN G., 2008, “Liberalization and privatization of public utilities: origins of the debate, current issues and challenges for the future”, Annals of Public and Cooperative Economics, 79 (3/4), 461-485. BURDEN R., 1998, Vulnerable consumer groups: quantification and analysis, London, Office of Fair Trading. BURNS, P. CRAWFORD, I. and DILNOT, A. 1996, “Regulation and Redistribution in Utilities”, Fiscal Studies, vol. 16 (4), 1-22. CEEP, 2010, Public services in the European Union & in the 27 member states. Statistics, organization and regulations, URL: www.actionpublique.eu. CEEP and ETUC, 2000, ‘Proposal for a Charter of Services of General Interest’, Brussels: CEEP and ETUC. CERIANI L., DORONZO R. and FLORIO M., 2009, “Privatization, unbundling and liberalization of network industries: a discussion of the dominant policy paradigm in the EU”, DEAS Working Papers, 2009-09, Dipartimento di Scienze Economiche Aziendali e Statistiche, Universitá degli Studi di Milano. CLIFTON J., COMÍN F. and DÍAZ-FUENTES D., 2005, “Empowering Europe´s Citizens? On the prospects for the Charter of Services of General Interest”, Public Management Review, 7 (3), 417-443. CLIFTON J., COMÍN F. and DÍAZ-FUENTES D., 2006, “Privatizing public enterprises in the European Union 1960-2002”: ideological, pragmatic, inevitable? Journal of European Public Policy, 13 (5), 736-756. CLIFTON J., COMÍN F. and DÍAZ-FUENTES D., 2007, eds., Transforming public enterprise in Europe and North America: Networks, Integration and Transnationalisation, New York, Palgrave-Macmillan. CLIFTON J., COMÍN F. and DÍAZ-FUENTES D., 2011, “From national monopoly to Multinational Corporation: how regulation shaped the road towards telecommunications internationalization”, Business History. CLIFTON J. and DÍAZ-FUENTES, D., 2010, “Evaluating EU policies on public services: a citizens’ perspective”, Annals of Public and Cooperative Economics, 81 (2), 281-311. CLIFTON, J. and DÍAZ-FUENTES, D., 2011, ‘From “club of the rich” to “globalization à la carte”: Evaluating reform at the OECD’ Global Policy. CNE (2010) “El Bono Social” http://www.cne.es/cne/contenido.jsp?id_nodo=407&&&keyword=&auditoria=F, last accessed 10 February 2011 CMT (2010) “Order PRE/531/2007” http://www.cmt.es/cmt_ptl_ext/SelectOption.do?tipo=html&detalles=0900271980087867&nav=norma_buscador&categoria=Servicio%20Universal, last accessed 10 January 2011. COMÍN F. and DÍAZ-FUENTES D., 2004, La empresa pública en Europa, Madrid, Síntesis. DIERX, A., ILZKOVITZ, F. KOVACS, V. and SOUSA, N., (forthcoming) A European Single Market for the 21st Century, London/New York/Delhi: Anthem Press. DUARTE, R. MAINAR, A. and SÁNCHEZ-CHÓLIZ, J. (2010) “The impact of household consumption patterns on emissions in Spain” Energy Economics, 32 (1) 176-185. DUBOIS U. and SAPLACAN R., 2010, “Public service perspectives on reforms of electricity distribution and supply: a modular analysis”, Annals of Public and Cooperative Economics, 81 (2), 313-356. EC, 2004, EU competition policy and the consumer. EC, 2007a, Treaty of Lisbon amending the Treaty on European Union and the Treaty establishing the European Community. EC, 2007b, Eurobarometer 260: Consumers opinions on Services of General Interest, Brussels, EC. EC, 2008a, How Can Behavioural Economics Improve Policies Affecting Consumers?, DG Health and Consumer Protection, Brussels, November 28. EC, 2008b, Questions and Answers on Behavioural Economics, MEMO/08/748. EC, 2010, Behavioural economics, so what: should policy makers care?, DG Health and Consumers, Brussels, November 22. FEDERAL TRADE COMMISSION, 2007, Behavioral Economics and Consumer Policy, New Jersey, September 14. FIORIO C. V. and FLORIO M., 2008, “Do you Pay a Fair Price for Electricity? Consumers’ Satisfaction and Utility Reform in the EU”, DEAS Working Papers, 2008-12, Dipartimento di Scienze Economiche Aziendali e Statistiche, Universitá degli Studi di Milano. FIORIO C. V. and FLORIO M., 2009, “The reform of Network Industries, Privatization and Consumers’ Welfare: Evidence from the EU15”, DEAS Working Papers, 2009-41, Dipartimento di Scienze Economiche Aziendali e Statistiche, Universitá degli Studi di Milano. FLORIO, M. 2004, The Great Divestiture: Evaluating the Welfare Impact of the British Privatizations, 1979-1997, Cambridge, MIT Press. FREY B. S. and STUTZER A., 2002, “What Can Economists Learn from Happiness Research?”, Journal of Economic Literature, XL, 402-435. GANS J. S., 2005, “Protecting Consumers by Protecting Competition: Does Behavioural Economics Support this Contention?”, MBS Working Papers, Melbourne Business School, University of Melbourne. GÓMEZ-LOBO, A., 1996, ‘The Welfare Consequences of Tariff Rebalancing in the Domestic Gas Market’, Fiscal Studies, vol. 17 (4), 49-65. HIRSCHMAN A., 1970, Exit, voice and royalty: Responses to decline in firms, organizations and states, Cambridge, Harvard University Press. HODGSON G. M., 1998, “The approach of institutional economics”, Journal of Economic Literature, 36 (1), 166-192. HODGSON G. M., 2000, “What is the essence of institutional economics?”, Journal of Economic Issues, 34 (2), 317-329. HOGG M. K., HOWELLS G. and MILMAN D., 2007, “Consumers in the Knowledge-Based Economy (KBE): What creates and/or constitutes consumer vulnerability in the KBE?”, Journal of Consumer Policy, 30 (2), 151-158. INE (INSTITUTO NACIONAL DE ESTADÍSTICA), 2006, Encuesta de Presupuestos Familiares, Madrid, INE. INSTITUTE FOR GOVERNMENT, 2010, Mindspace. Influencing behaviour through public policy, London, Cabinet Office. KAHNEMAN D. and THALER R. H., 2006, “Anomalies. Utility Maximization and Experienced Utility”, Journal of Economic Perspectives, 20 (1), 221-234. KÖSZEGI B. and RABIN M., 2008, “Choices, situations and happiness”, Journal of Public Economics, 92, 1821-1832. MAJONE, G., 1996, Regulating Europe, London: Routledge. MANSELL, R., 2009, The Information Society, London: Routledge. MILLWARD, R., 2005, Private and Public Enterprise in Europe: Energy, Telecommunications and Transport, 1830-1990, Cambridge: Cambridge University Press. MULLAINATHAN S. and THALER R., 2000, “Behavioural economics”, Working Paper Series, 00-27, Department of Economics, Massachusetts Institute of Technology. NEWBERY D. M., 2004, “Privatising Network Industries”, CESifo Working Papers, 1132, Center for Economic Studies & Ifo Institute for Economic Research, Munich. OECD, 2008, Enhancing Competition in Telecommunications: Protecting and Empowering Consumers, Paris, OECD. OECD, 2010, Consumer policy toolkit, Paris, OECD. OFGEM, 2010, Social Action Strategy: 2009-2010 update, London, OFGEM. ONS, 2006, Expenditure and Food Survey, London, ONS. RD 485/2009, de 3 de abril, por el que se regula la puesta en marcha del suministro de último recurso en el sector de la energía eléctrica. RD ley 6/2009, de 30 de abril, por el que se adoptar determinadas medidas en el sector energético y se aprueba el bono social. PELKMANS J., 2006, European integration: Methods and economic analysis, Harlow, Prentice Hall. VAN DOOREN W. and VAN DE WALLE S., 2008, “Reality is merely an illusion, albeit a persistent one: introduction to the performance measurement symposium”, International Review of Administrative Sciences, 74, 531-534. VAN DE WALLE S., 2009, “When is a service an essential public service?”, Annals of Public and Cooperative Economics, 80 (4), 521-545. WADDAMS, C. and WILSON, C., 2010, “Do Consumers Switch to the Best Supplier?”, Oxford Economic Papers, 62: 647-668. WADDAMS PRICE C., BRAZIER K., PHAM K., MATHIEU L. and WANG W., 2007, “Identifying Fuel Poverty using Objective and Subjective Measures”, CCP Working Papers, 07-11, Centre for Competition Policy, University of East Anglia. WADDAMS PRICE C. and HANCOCK R., 1998, “Distributional Effects of Liberalising UK Residential Utility Markets”, Fiscal Studies, 19 (3), 295-319. WILBUR C. K. and HARRISON R. S., 1978, “The methodological basis of institutional economics: pattern model, storytelling, and holism”, Journal of Economic Issues, 12 (1), 61-89. WHITEHEAD J. C., PATTANAYAK S. K., VAN HOUVTEN G. L. and GELSO B. R., 2008, “Combining revealed and stated preference data to estimate the nonmarket value of ecological services: an assessment of the state of the service”, Journal of Economic Surveys, 22 (5), 872-908. |
URI: | https://mpra.ub.uni-muenchen.de/id/eprint/33018 |