Archive for category Refereed journals
“Assessment of antitrust agencies’ impact and performance: an analytical framework”, Journal of Antitrust Enforcement, 2016, by J. Delgado, H. Otero and E. Pérez-Asenjo.
The assessment of antitrust agencies’ impact and performance serves three goals: first, to assess how well competition agencies have done their job; secondly, to help to correct their future strategy and to improve the allocation of limited resources, and finally, to respond to the need for accountability of public agencies. We propose an analytical framework to evaluate the impact of the interventions of antitrust agencies (eg infringement decisions, merger control decisions, advocacy work, etc.). The framework proposed combines comprehensiveness (including all activities by agencies) and simplicity (through a number of synthetic indicators). The framework classifies interventions according to their nature and impact measurability and proposes activity, relevance, and impact indicators to assess agencies’ performance.
CNMC: The Story of an Unfinished Reform (“La CNMC: la historia de una reforma inacabada“), by Juan Delgado and Héctor Otero. PAPELES DE ECONOMÍA ESPAÑOLA. Regulación y política de defensa de la competencia en España; no. 135. September 2015.
In 2012, the Spanish government proposed the merger of the antitrust authority together with six sectoral regulators in a single authority, the National Commission for Markets and Competition (CNMC). The reform was justified by the need for better coordination between regulators, to improve the consistency of their respective decisions and to reduce their operational costs. The design of the new institution however does not necessarily guarantee that those potential benefits will be materialized. Improving decision-making mechanisms, creating a more horizontal organization and strengthening the financial and functional autonomy of the regulator would facilitate the generation of synergies that so far do not seem to have arisen.
ECONOMIC AND ENVIRONMENTAL IMPACT OF THE ENERGY EFFICIENCY PLAN OF THE CITY OF BILBAO, by Juan Delgado, Ibon Galarraga, Mikel González and Josu Lucas
DYNA Energía y Sostenibilidad, January 2015, vol. 4, no. 1, p.1-8.
Energy efficiency programmes aim to rationalize energy consumption and reduce carbon emissions. In the past 10 years an increasing number of cities and regions have developed efficiency plans. Energy efficiency programmes generally require new upfront investments in more efficient infrastructure and equipment which are offset by lower recurring energy costs. This paper analyses the economic and (direct and indirect) environmental effects of an energy efficiency plan based on a real case study in the city of Bilbao. Our analysis strives to differentiate between new and additional measures included in the plan and those that would have been implemented in any case, and to take into account alternative uses of the funds allocated to the programme. These issues are critical in understanding the real economic and environmental effects of such plans and to avoid double accounting for multiplicatier effects.
(Earlier version at IESE Business School. Public-Private Sector Research Center. Occasional Paper OP-259-E, Rev. 4/2014).
Op-ed (In Spanish): El segundo dividendo digital y la gestión eficiente del espectro. Competition Policy International, 24 March 2015.
“Under the current uncertainty about future spectrum demand and given the high costs involved by releasing frequencies from broadcasting to mobile broadband, adopting early decisions on the reallocation of the 700 MHz band might not necessarily lead to a more efficient outcome,” concludes Juan Delgado in the article “Reallocating the spectrum: Should we do it?”.
Home Bias and Market Integration in the EU, by Narcissa Balta and Juan Delgado
CESIFO Economic Studies, (2009); vol. 55(1), pp. 110-144.
The Single Market has been one of the core policies of the European Union. Twenty years after the launch of the Single Market Programme national borders still matter in Europe and consumption baskets and investment portfolios of EU countries still contain a predominant share of home products and equity. This article evaluates the success of integration policies in the European Union by assessing the magnitude and evolution of home bias across Europe in goods and services markets and in equity portfolio holdings. There are large differences in the degree of home bias across European countries. More worrisome is the home bias in goods and services that has barely changed in recent years. This might indicate that traditional integration policies are no longer effective and need to be transformed to continue delivering.
Economic Theory, (2006); vol. 29(1), pp. 219-229.
Whereas in the absence of capacity constraints the Cournot outcome is the unique coalition-proof supply function equilibrium outcome, the presence of capacity constraints may enlarge the set of equilibrium outcomes. Interestingly, if capacities are sufficiently asymmetric the new equilibrium prices are below the Cournot price. These results have important implications for merger and privatization policies: specifically, capacity divestiture will not necessarily imply lower market prices.
Coalition-proof Supply Function Equilibria in Oligopoly, by Juan Delgado and Diego Moreno.
Journal of Economic Theory, (2004); vol. 114(2), pp. 231-254.
In an industry where firms compete via supply functions, the set of equilibrium outcomes is large. If decreasing supply functions are ruled out, this set is reduced significantly, but remains large. Specifically, the set of prices that can be sustained by supply function equilibria is the interval between the competitive price and the Cournot price. In sharp contrast, when the number of firms is above a threshold we identify (e.g., three if demand is linear), only the Cournot outcome can be sustained by a coalition-proof supply function equilibrium.