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Titlebook: Regulatory Finance; Financial Foundation Howard E. Thompson Book 1991 Springer Science+Business Media New York 1991 Arbitrage.Finance.Finan

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书目名称Regulatory Finance
副标题Financial Foundation
编辑Howard E. Thompson
视频video
丛书名称Topics in Regulatory Economics and Policy
图书封面Titlebook: Regulatory Finance; Financial Foundation Howard E. Thompson Book 1991 Springer Science+Business Media New York 1991 Arbitrage.Finance.Finan
描述This monograph is concerned with the determination of the allowed rate ofreturn in rate cases which, in part, determines the rates ofcharge to customers of public utilities. Rate of return determination has been a central topic in utility regulation for a century. Recent changes in the traditionally regulated markets - electricity, gas, and telephone - have shoved discussion of rate of return determination into the background, replacing it by technology changes, competition, downsizing, deregulation, and reg‘ulatory incentive systems. These new issues have made the regula­ tory sector, which had the reputation of being stodgy and uninteresting, an exciting field ofstudy. But rate ofreturn is not dead. It will playa key role in whatever the new structure ofthe regulated sector. Separating generation from transmis­ sion and distribution will not eliminate the need for rate of return analysis in the electric utility industry. Rather, it may well increase the number of companies for which the rate of return needs to be determined. It will playa fundamental role in the new regulatory environment. Incentive systems in the regulated sector may be the wave of the future but they will use t
出版日期Book 1991
关键词Arbitrage; Finance; Financing; competition; deregulation; rating; regulation; valuation
版次1
doihttps://doi.org/10.1007/978-1-4615-3948-3
isbn_softcover978-1-4613-6762-8
isbn_ebook978-1-4615-3948-3Series ISSN 2730-7468 Series E-ISSN 2730-7476
issn_series 2730-7468
copyrightSpringer Science+Business Media New York 1991
The information of publication is updating

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Traditional Models: CAPM and Risk Analysise by public utilities. ., in 1944, crystallized the concept stating that “the return to the equity owner should be commensurate with returns on investments in other enterprises having corresponding risk.” But twenty years later the capital asset pricing theory of Sharpe [1964], Lintner [1965], and M
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Issues in the Theory of Rate of Returnch model is best?” But the models are fundamentally different and the determination of what is “best” becomes . issue. Presumably, the answer to this question is that the best model is one that allows the most “accurate” calculation of the “true” required rate of return.
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Methodology of Comparable Earnings and DCFort, reflecting my opinion that there is little to be said concerning it. The discussion of DCF is considerably more lengthy reflecting the fact that there are substantial empirical issues associated with its use. In contrast to the comparable earnings approach, there seems to be a lot to say about
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The Methodology for Risk Analysise specific determinant of the required rate of return--beta--than does the DCF approach. But there are both theoretical and empirical problems associated with its application. Chapters 4 and 7 discussed these in general terms. In this chapter we will discuss its application in more detail.
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