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The role of buying consortia among SMEs in the electricity market in Italy

✍ Scribed by Marco Alderighi


Publisher
Elsevier Science
Year
2007
Tongue
English
Weight
278 KB
Volume
35
Category
Article
ISSN
0301-4215

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✦ Synopsis


We model the electricity market in Italy, focusing on the impact of buying consortia among SMEs on the behaviour of the large electricity producers and sellers. We show that consortia may in certain circumstances produce a pro-competitive result, i.e. they may induce a reduction of prices not only for consortia members but also for firms not in the consortia.


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## Abstract This paper posits asymmetric information as the missing link between the currency demands of investors and changes in the exchange rate. A theoretical model demonstrates that changes in the exchange rate and currency demand are positively correlated for well‐informed investors and negat