Powering Progress: Restructuring, Competition, and R&D in the U.S. Electric Utility Industry

@article{Sanyal2009PoweringPR,
  title={Powering Progress: Restructuring, Competition, and R\&D in the U.S. Electric Utility Industry},
  author={Paroma Sanyal and Linda R. Cohen},
  journal={The Energy Journal},
  year={2009},
  volume={30},
  pages={41-80}
}
This paper investigates the R&D behavior of regulated firms when they transition to a competitive environment. Using data from the US electricity market from 1990-2000, we analyze how competition, institutional changes, and political constraints have contributed to the precipitous decline in R&D expenditure by regulated utilities. We find that firms reduce their R&D significantly at the very early stages of restructuring or even when they expect restructuring to occur. Once the emerging… 

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