under Noisy Price Signals:
A Study of Electricity Retail Rate Deregulation in
James B. Bushnell and Erin T. Mansur
Journal of Industrial Economics, Volume 53, Issue 4, December 2005, pages 493-513.
Working Paper, November 2004.
SSRN abstract number 870633, December 2005.
Previously titled: “The Impact of Retail Rate Deregulation on Electricity Consumption in
UC Energy Institute POWER Working Paper-082, April 2001, Revised July 2003.
Utility services employ nonlinear
tariffs that attempt to convey information on cost convexities. This paper
examines how customers respond to noisy and volatile tariffs by measuring
deregulated retail rates’ impact on electricity consumption in