Italian water regulation: a changing scene

Regulation of the Italian water sector has undergone profound change over the past decade. The Italian Authority for Electricity and Gas now has regulatory and control functions over water regulation.

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Optimal hesitation? Confirmation bias in consumer choices

Behavioural economics is now used by many competition authorities. A recent study at the across economics, neuroscience and machine learning analyses consumer ‘hesitation’, shedding new light on the limits of their ability to assess information.

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Consumer data in online markets

Businesses increasingly use consumer data to offer better and more targeted digital products and services. Many of these new business models rely on data to facilitate transactions and generate revenues in a way that was not previously possible. Access to personal data has understandably raised concerns about privacy. Based on a study commissioned by Which?, we investigate the delicate balance between privacy and the value of digital services

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Putting the genie back in the bottle—deposit return schemes on plastics

In March 2018 the UK government announced a plan to introduce a deposit return scheme for plastic, glass and metal drinks containers in England. Aimed at curbing pollution by stimulating recycling, the scheme will be consulted on later this year, and will bring England into line with many other EU countries that already have such schemes. From a traditional and a behavioural economics perspective, what conditions are necessary in order for these schemes to achieve the intended policy objectives?

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The Heathrow third runway: what next?

Given the approval of the UK government’s National Airports Policy Statement on 5 June 2018, observers may think that the last remaining major obstacles have been removed and the bulldozers are ready to roll in to clear the site for the third runway at Heathrow. But in truth, as Mike Toms, Oxera Director, explains, there are still many hoops to jump through before the project gets off the ground

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Sharing too much? Information exchange in the digital economy

Is an excess of information hurting competition? Although there are some well-established, economically founded principles for assessing the exchange of information between competitors, the general increase in information availability in the digital economy presents new challenges. We revisit the economic principles that can be used to understand the likely effects, both beneficial and malign, of information sharing, and how competition authorities could react to these trends

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Economic profitability in banking and the (mis)allocation of capital

Many banks make capital allocation decisions using the same profitability hurdle rate for all business units. Does that matter? We look at how this practice could lead to distortions at the business unit level, with potentially important consequences for shareholders, competitors and consumers

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