A very timely report by a group of OSU researchers on the state of the retail electricity market in Ohio. This ties very closely to our discussion of perfect markets and what the necessary conditions are for markets to be efficient. This is a clear case where deregulation of the market was supposed to create fierce competition and a more efficient allocation of electricity. It turns out that consumers lack the necessary information to make decisions and what we end up with is called a market failure....we will cover this later in the week.
You can listen to the report instead of reading the article...just under 5 minutes.
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