Government regulation of public utility firms has historically been pervasive and stringent. Today, however, rate-of-return regulation has been replaced by incentive regulation in Florida and in many other states, and barriers to competition are being removed in response to new technological and commercial opportunities. As regulation changes and competition emerges in Florida and elsewhere, numerous research issues arise. For instance, the best forms of incentive regulation for Florida must be identified. It is also important to determine whether Florida’s regulators should treat competitors and incumbent suppliers symmetrically or asymmetrically. It is also crucial to assess when competition can supplant regulation entirely in Florida, and when residual regulation is needed to supplement antitrust enforcement in order to achieve social objectives.
Primary Regulation researchers: