Search results for "Market power"
showing 8 items of 38 documents
Measuring the market power in the ceramic tile industry: An international comparison
2004
This paper measures the degree of competition faced by Spanish and Italian exporters of ceramic tiles in several European Union member states. The results indicate that Spanish producers have a substantial market power while Italian exporters face a high degree of competition. This finding is consistent with the significant gain (loss) in the world production and export shares that Spanish (Italian) producers experienced during the 1990s. The results are also consistent with accounting data. Furthermore, comparisons in the extent of market power across source countries and European destination markets reveal that most variation in the data is related to the source country. JEL no. F12, F14,…
The Impact of Solar Penetration on Solar and Gas Market Value: An Application to the Italian Power Market
2014
We assess the impact of solar penetration in the Italian wholesale electricity market on the market value of solar with respect to gas sources, measured as the ratio between the relative price they respectively earn and the average daily electricity price (value factor). We find that, on average, an increase of solar generation has a negative impact on the price earned by solar producers, thus causing a marginal departure from the grid parity condition. The relation between solar production and its market value is not constant over the years, while it depends on the degree of solar penetration. It is positive for very low levels of solar production while, as production increases, its margin…
Growing Like Germany: Local Public Debt, Local Banks, Low Private Investment
2021
The paper uses a panel of more than 1m German firms over 2010-2016, to provide the first firm-bank level evidence of local crowding out for a developed economy characterized by low interest rates and fiscal austerity. Our mechanism relies on two structural features of Germany's banking landscape: the local segmentation of credit markets for small and medium-sized firms (SME) and the role of local public banks in local public finance. Local public banks dominate lending to small and medium firms in Germany and also have an explicit mandate to lend to the local public sector. With spreads on local government debt at all-time lows, local public banks tried to break even, using their market pow…
Efficiency, costs and market power analysis of the Spanish Port System
2021
El presente trabajo tiene diferentes objetivos. El primero es calcular la eficiencia técnica de las autoridades portuarias en la prestación de servicios sobre tráfico de mercancías y pasajeros en el periodo 2002- 2018. Para llevar a cabo este objetivo, se utiliza una función distancia orientada al output y se estima la eficiencia técnica a partir de una función frontera del tipo estocástico (SFA). Del mismo modo, se emplea la metodología no paramétrica (DEA) bajo dos supuestos alternativos, o bien bajo rendimientos constantes a escala (modelo de Charnes, Cooper y Rhodes, 1978), o bien bajo rendimientos variables a escala (modelo de Banker, Charnes y Cooper, 1984). Este análisis nos permite …
Regional financial development and bank competition: effects on firms' growth
2009
Fernandez de Guevara J. and Maudos J. Regional financial development and bank competition: effects on firms' growth, Regional Studies. This paper analyses the effect of regional financial development and bank competition on firms' growth using the Spanish provinces as a testing ground. The results show that firms in industries with a greater dependence on external finance grow faster in more financially developed provinces. The results also show that bank monopoly power has an inverted-‘U’ effect on firms' growth, suggesting that market power has its highest effect at intermediate values. The effect is heterogeneous among firms according to the financial dependence of the industry to which …
Factors explaining the interest margin in the banking sectors of the European Union
2003
Abstract This study analyses the interest margin in the principal European banking sectors (Germany, France, the United Kingdom, Italy and Spain) in the period 1993–2000 using a panel of 15,888 observations, identifying the fundamental elements affecting this margin. Our starting point is the methodology developed in the original study by Ho and Saunders [Journal of Financial and Quantitative Analysis XVI (1981) 581–600] and later extensions, but widened to take banks' operating costs explicitly into account. Also, unlike the usual practice in the literature, a direct measure of the degree of competition (Lerner index) in the different markets is used. The results show that the fall of marg…
Intellectual Property Rights: An Economic Approach
2014
Abstract This paper aims to analyse the intellectual property rights from an economic perspective. The paper is discussing the points of view of well known economists in relation to the positive and negative impacts of the intellectual property systems. It brings also into discussion the role of IPR as a barrier to entry and a mean to restrict competition and to favour monopoly situations.
Does innovativeness reduce startup survival rates?
2015
There are two competing hypotheses explaining how innovativeness influences the survival of startups: On the one hand, innovativeness is argued to foster survival-enhancing attributes (e.g., market power and cost efficiency) and capabilities (e.g., absorptive capacity). On the other hand, an innovative startup faces (and bears the associated risks of) liabilities of newness and smallness that exceed those of its non-innovative counterparts. The available empirical literature addressing this theoretical tension mostly supports the former hypothesis; we suggest that this finding is, in part, driven by the common practice of employing an ex post measure that already embodies a degree of succes…