Energy Market Regulations and Productivity: An Examination on OECD Countries between the Years of 1975-2007

Year 2016, Volume: 24 Issue: 27, 243 - 261, 22.01.2016

Işıl Selçuk , Altuğ Köktaş

https://doi.org/10.17233/se.13369

Cited By: 1

Abstract

Regulations in energy markets that began in a number of countries in 1980s has become more widespread in many countries especially in 2000s. In this context, the fact that how the sectorial regulations affect the economy has become an important point in the name of policy implementers. Within the scope of this study, the effect of anti-competitive regulations in energy markets of OECD countries between the years of 1975 – 2007 on total factor productivity was examined. It is aimed to evaluate effects of sectorial anti-competitive regulation by the use of regulation impact indicator that has been taken from the data base of OECD. In econometric estimations, which were performed by using unbalanced panel data, Cobb-Douglas type of production function that includes energy was characterized and total factor productivity was calculated as residuals of production function in this direction. In consequence of the analysis, it is stated that in case when the regulations in energy market are anti-competitive, they affect total factor productivity in a negative direction.

Keywords

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