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Powering Up Developing Countries through Integration?

机译:通过整合提升发展中国家?

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摘要

Power market integration is analyzed in a two countries model with nationally regulated firms and costly public funds. If generation costs between the two countries are too similar negative business-stealing outweighs efficiency gains so that following integration welfare decreases in both regions. Integration is welfare-enhancing when the cost difference between the two regions is large enough. The benefit from export profits increases total welfare in the exporting country, while the importing country benefits from lower prices. This is a case where market integration also improves the incentives to invest compared to autarky. The investment levels remain inefficient though. With generation facilities over-investment occurs sometimes, while systematic under-investment occurs for transportation facilities. Free-riding reduces the incentives to invest in these public-good components, while business-stealing tends to reduce the capacity for financing new investment.
机译:电力市场整合是在两个国家模型下进行分析的,其中包括国家监管的公司和昂贵的公共资金。如果两国之间的发电成本太相似,那么负面的商业窃取将超过效率收益,从而使两个地区的整合后福利下降。当两个区域之间的成本差异足够大时,整合可以提高福利。出口利润的好处增加了出口国的总福利,而进口国则受益于较低的价格。在这种情况下,与自给自足相比,市场整合还可以改善投资动机。但是,投资水平仍然很低。对于发电设施,有时会发生过度投资,而对于交通设施则会出现系统性的投资不足。搭便车减少了对这些公益物品进行投资的动机,而商业窃取往往会减少为新投资筹集资金的能力。

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