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Yolsuzluğun Kamu Hizmeti Fiyatları Üzerindeki Etkisi: Elektrik Piyasaları için Teorik ve Ampirik Bir İnceleme

Year 2024, Volume: 32 Issue: 60, 73 - 93, 28.04.2024

Mustafa Kadir Doğan Funda Altun

https://doi.org/10.17233/sosyoekonomi.2024.02.04

Abstract

Bu çalışmada, yolsuzluğun kamu hizmeti fiyatları üzerindeki etkisi araştırılmıştır. Öncelikle, oluşturulan oyun-teorisi modeliyle, görevdeki politikacı, firmalardan oluşan lobi grubu ve temsili tüketicinin kamu hizmeti fiyatının belirlenmesi sürecindeki etkileşimi analiz edilmiştir. Model, yolsuzluğun artması ile kamu hizmeti fiyatlarının yükseldiğine işaret etmektedir. Bu öngörü, 21 OECD ülkesinin 1995-2015 dönemine ait elektrik piyasası verileriyle ampirik olarak test edilmiş ve doğrulanmıştır. Ayrıca, seçilmiş reform değişkenlerinin elektrik fiyatları üzerindeki etkileri de incelenmiştir. Bazı reformların fiyatları düşürdüğü, bazılarının ise fiyat artışlarına katkıda bulunduğu tespit edilmiştir. Bu bulgular, kamu hizmeti fiyatlarının doğru bir biçimde oluşumu için yolsuzlukla mücadelenin önemini vurgulamaktadır.

Keywords

Düzenleyiciyi Ele Geçirme Yolsuzluk Vekalet Teorisi Kamusal Hizmet Fiyatları Elektrik Fiyatları Düzenleyici Reformlar

References

  • Ahmed, T. & A.A. Bhatti (2019), “Do power sector reforms affect electricity prices in selected Asian countries?”, Energy Policy, 129, 1253-1260.
  • Bacchiocchi, E. et al. (2015), “Asymmetric effects of electricity regulatory reforms in the EU15 and in the New Member States: Empirical evidence from residential prices 1990-2011”, Utilities Policy, 35, 72-90.
  • Baron, D.P. (1994), “Electoral Competition with Informed and Uninformed Voters”, American Political Science Review, 88(1), 33-47.
  • Barro, R.J. (1973), “The Control of Politicians: An Economic Model”, Public Choice, 14(1), 19-42.
  • Boehm, F. (2007), “Regulatory Capture Revisited-Lessons From Economics of Corruption”, Internet Centre for Corruption Research (ICGG) Working Paper, No: 22.
  • Chang, C.P. et al. (2018), “Is higher government efficiency conducive to improving energy use efficiency? Evidence from OECD countries”, Economic Modelling, 72, 65-77.
  • Dal Bo, E. & M. Rossi (2007), “Corruption and Inefficiency: Theory and Evidence From Electric Utilities”, Journal of Public Economics, 91(5-6), 939-962.
  • Dal Bo, E. (2006), “Regulatory Capture: A Review”, Oxford Review of Economic Policy, 22(2), 203-225.
  • Englmaier, F. et al. (2017), “Power Politics: Electoral Cycles in German Electricity Prices”, Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking, 168267, Verein für Socialpolitik / German Economic Association.
  • Erdogdu, E. (2011), “The Impact of Power Market Reforms on Electricity Price-Cost Margins and Cross-Subsidy Levels: A Cross Country Panel Data Analysis”, Energy Policy, 39(3), 1080-1092.
  • Estache, A. & E. Kouassi (2002), “Sector Organization, Governance, and the Inefficiency of African Water Utilities”, World Bank Policy Research Working Paper No: 2890.
  • Estache, A. et al. (2006), “Telecommunications Performance, Reforms, and Governance”, World Bank Policy Research Working Paper No: 3822.
  • Estache, A. et al. (2009), “Utilities Reforms and Corruption in Developing Countries”, Utilities Policy, 17(2), 191-202.
  • Ferejohn, J. (1986), “Incumbent Performance and Electoral Control”, Public Choice, 50(13), 5-25.
  • Fernández‐i‐Marín, X. et al. (2016), “Are Regulatory Agencies Independent in Practice? Evidence from Board Members in Spain”, Regulation and Governance, 10(3), 230-247.
  • Fiorio, C.V. & M. Florio (2013), “Electricity Prices and Public Ownership: Evidence from the EU15 over Thirty Years”, Energy Economics, 39, 222-232.
  • Greene, W.H. (2012), Econometric Analysis, Boston and London: Pearson, 7th edition.
  • Grossman, G.M. & E. Helpman (1994), “Protection for Sale”, American Economic Review, 84(4), 833-850.
  • Grossman, G.M. & E. Helpman (1996), “Electoral Competition and Special Interest Politics”, The Review of Economic Studies, 63(4), 265-286.
  • Gupta, S. et al. (2001), “Corruption and the Provision of Health Care and Education Services”, in: A.K. Jain (ed.), The Political Economy of Corruption, New York: Routledge.
  • Hanretty, C. & C. Koop (2013), “Shall the law set them free? The formal and actual independence of regulatory agencies”, Regulation and Governance, 7(2), 195-214.
  • Hattori, T. & M. Tsutsui (2004), “Economic Impact of Regulatory Reforms in the Electricity Supply Industry: A Panel Data Analysis for OECD Countries”, Energy Policy, 32(6), 823-832.
  • Hoechle, D. (2007), “Robust Standard Errors for Panel Regressions with Cross-Sectional Dependence”, The Stata Journal, 7(3), 281-312.
  • Hyland, M. (2016), “Restructuring European electricity markets-A panel data analysis”, Utilities Policy, 38, 33-42.
  • Imam, M.I. et al. (2019), “Sector reforms and institutional corruption: Evidence from electricity industry in Sub-Saharan Africa”, Energy Policy, 129, 532-545.
  • Jain, A.K. (2001), “Corruption: A Review”, Journal of Economic Surveys, 15(1), 71-121.
  • Johnston, M. (1989), “Corruption, Inequality, and Change”, in: P.M. Ward (ed.), Corruption, Development and Inequality: Soft Touch or Hard Graft, New York: Routledge.
  • Kaller, A. et al. (2018), “The impact of regulatory quality and corruption on residential electricity prices in the context of electricity market reforms”, Energy Policy, 123, 514-524.
  • Laffont, J.J. & J. Tirole (1991), “The Politics of Government Decision-making: A Theory of Regulatory Capture”, The Quarterly Journal of Economics, 106(4), 1089-1127.
  • Lewis, M. (2006), “Governance and Corruption in Public Health Care Systems”, Center for Global Development Working Paper, No: 78.
  • Li, H. et al. (2000), “Corruption, Income Distribution, and Growth”, Economics and Politics, 12, 155-182.
  • Liu, J. et al. (2023), “Corruption induced energy inefficiencies: Evidence from China’s energy investment projects”, Energy Policy, 183, 113825.
  • Mauro, P. (1995), “Corruption and Growth”, Quarterly Journal of Economics, 110 (3), 681712.
  • Nagayama, H. (2007), “Effects of Regulatory Reforms in the Electricity Supply Industry on Electricity Prices in Developing Countries”, Energy Policy, 35(6), 3440-3462.
  • Nagayama, H. (2009), “Electric Power Sector Reform Liberalization Models and Electric Power Prices in Developing Countries: An Empirical Analysis Using International Panel Data”, Energy Economics, 31(3), 463-472.
  • Pigou, A.C. (1932), The Economics of Welfare, Fourth Edition 1932, reprinted 1960, London: MacMillan.
  • Steiner, F. (2000), “Regulation, Industry Structure, and Performance in the Electricity Supply Industry”, OECD Economics Department Working Papers, No. 238.
  • Stigler, G.J. & C. Friedland (1962), “What Can Regulators Regulate? The Case of Electricity”, The Journal of Law and Economics, 5, 1-16.
  • Stigler, G.J. (1971), “The Theory of Economic Regulation”, The Bell Journal of Economics and Management Science, 2(1), 3-21.
  • Thatcher, M. (2005), “The Third Force? Independent Regulatory Agencies and Elected Politicians in Europe”, Governance: An International Journal of Policy, Administration, and Institutions, 18(3), 347-373.
  • Treisman, D. (2000), “The Causes of Corruption: A Cross-National Study”, Journal of Public Economics, 76(3), 399-457.
  • World Bank (2009), Deterring Corruption and Improving Governance in the Electricity Sector, Energy, Transport & Water Department and Finance, Economics & Urban Department.
  • Wren-Lewis, L. (2015), “Do infrastructure reforms reduce the effect of corruption? Theory and evidence from Latin America and the Caribbean”, The World Bank Economic Review, 29(2), 353-384.
  • Zhang, Y.F. et al. (2002), “Electricity Sector Reform in Developing Countries: An Econometric Assessment of the Effects of Privatization, Competition and Regulation”, Centre on Regulation and Competition-Manchester, Institute for Development Policy and Management Working Paper, No. 31.

Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets

Year 2024, Volume: 32 Issue: 60, 73 - 93, 28.04.2024

Mustafa Kadir Doğan Funda Altun

https://doi.org/10.17233/sosyoekonomi.2024.02.04

Abstract

This study investigates the influence of corruption on utility prices. We develop a game-theoretical model to explore the interactions between the government, an interest group formed by firms, and consumers in determining utility prices. The model suggests that an increase in corruption correlates with a rise in utility prices, a relationship confirmed through empirical analysis of electricity sectors in 21 OECD countries from 1995 to 2015. Additionally, we explore the effects of regulatory reforms on electricity prices, revealing mixed outcomes. The findings emphasise the importance of anti-corruption efforts in shaping fair utility prices.

Keywords

Regulatory Capture Corruption Political Agency Utility Prices Electricity Prices Regulatory Reforms

References

  • Ahmed, T. & A.A. Bhatti (2019), “Do power sector reforms affect electricity prices in selected Asian countries?”, Energy Policy, 129, 1253-1260.
  • Bacchiocchi, E. et al. (2015), “Asymmetric effects of electricity regulatory reforms in the EU15 and in the New Member States: Empirical evidence from residential prices 1990-2011”, Utilities Policy, 35, 72-90.
  • Baron, D.P. (1994), “Electoral Competition with Informed and Uninformed Voters”, American Political Science Review, 88(1), 33-47.
  • Barro, R.J. (1973), “The Control of Politicians: An Economic Model”, Public Choice, 14(1), 19-42.
  • Boehm, F. (2007), “Regulatory Capture Revisited-Lessons From Economics of Corruption”, Internet Centre for Corruption Research (ICGG) Working Paper, No: 22.
  • Chang, C.P. et al. (2018), “Is higher government efficiency conducive to improving energy use efficiency? Evidence from OECD countries”, Economic Modelling, 72, 65-77.
  • Dal Bo, E. & M. Rossi (2007), “Corruption and Inefficiency: Theory and Evidence From Electric Utilities”, Journal of Public Economics, 91(5-6), 939-962.
  • Dal Bo, E. (2006), “Regulatory Capture: A Review”, Oxford Review of Economic Policy, 22(2), 203-225.
  • Englmaier, F. et al. (2017), “Power Politics: Electoral Cycles in German Electricity Prices”, Annual Conference 2017 (Vienna): Alternative Structures for Money and Banking, 168267, Verein für Socialpolitik / German Economic Association.
  • Erdogdu, E. (2011), “The Impact of Power Market Reforms on Electricity Price-Cost Margins and Cross-Subsidy Levels: A Cross Country Panel Data Analysis”, Energy Policy, 39(3), 1080-1092.
  • Estache, A. & E. Kouassi (2002), “Sector Organization, Governance, and the Inefficiency of African Water Utilities”, World Bank Policy Research Working Paper No: 2890.
  • Estache, A. et al. (2006), “Telecommunications Performance, Reforms, and Governance”, World Bank Policy Research Working Paper No: 3822.
  • Estache, A. et al. (2009), “Utilities Reforms and Corruption in Developing Countries”, Utilities Policy, 17(2), 191-202.
  • Ferejohn, J. (1986), “Incumbent Performance and Electoral Control”, Public Choice, 50(13), 5-25.
  • Fernández‐i‐Marín, X. et al. (2016), “Are Regulatory Agencies Independent in Practice? Evidence from Board Members in Spain”, Regulation and Governance, 10(3), 230-247.
  • Fiorio, C.V. & M. Florio (2013), “Electricity Prices and Public Ownership: Evidence from the EU15 over Thirty Years”, Energy Economics, 39, 222-232.
  • Greene, W.H. (2012), Econometric Analysis, Boston and London: Pearson, 7th edition.
  • Grossman, G.M. & E. Helpman (1994), “Protection for Sale”, American Economic Review, 84(4), 833-850.
  • Grossman, G.M. & E. Helpman (1996), “Electoral Competition and Special Interest Politics”, The Review of Economic Studies, 63(4), 265-286.
  • Gupta, S. et al. (2001), “Corruption and the Provision of Health Care and Education Services”, in: A.K. Jain (ed.), The Political Economy of Corruption, New York: Routledge.
  • Hanretty, C. & C. Koop (2013), “Shall the law set them free? The formal and actual independence of regulatory agencies”, Regulation and Governance, 7(2), 195-214.
  • Hattori, T. & M. Tsutsui (2004), “Economic Impact of Regulatory Reforms in the Electricity Supply Industry: A Panel Data Analysis for OECD Countries”, Energy Policy, 32(6), 823-832.
  • Hoechle, D. (2007), “Robust Standard Errors for Panel Regressions with Cross-Sectional Dependence”, The Stata Journal, 7(3), 281-312.
  • Hyland, M. (2016), “Restructuring European electricity markets-A panel data analysis”, Utilities Policy, 38, 33-42.
  • Imam, M.I. et al. (2019), “Sector reforms and institutional corruption: Evidence from electricity industry in Sub-Saharan Africa”, Energy Policy, 129, 532-545.
  • Jain, A.K. (2001), “Corruption: A Review”, Journal of Economic Surveys, 15(1), 71-121.
  • Johnston, M. (1989), “Corruption, Inequality, and Change”, in: P.M. Ward (ed.), Corruption, Development and Inequality: Soft Touch or Hard Graft, New York: Routledge.
  • Kaller, A. et al. (2018), “The impact of regulatory quality and corruption on residential electricity prices in the context of electricity market reforms”, Energy Policy, 123, 514-524.
  • Laffont, J.J. & J. Tirole (1991), “The Politics of Government Decision-making: A Theory of Regulatory Capture”, The Quarterly Journal of Economics, 106(4), 1089-1127.
  • Lewis, M. (2006), “Governance and Corruption in Public Health Care Systems”, Center for Global Development Working Paper, No: 78.
  • Li, H. et al. (2000), “Corruption, Income Distribution, and Growth”, Economics and Politics, 12, 155-182.
  • Liu, J. et al. (2023), “Corruption induced energy inefficiencies: Evidence from China’s energy investment projects”, Energy Policy, 183, 113825.
  • Mauro, P. (1995), “Corruption and Growth”, Quarterly Journal of Economics, 110 (3), 681712.
  • Nagayama, H. (2007), “Effects of Regulatory Reforms in the Electricity Supply Industry on Electricity Prices in Developing Countries”, Energy Policy, 35(6), 3440-3462.
  • Nagayama, H. (2009), “Electric Power Sector Reform Liberalization Models and Electric Power Prices in Developing Countries: An Empirical Analysis Using International Panel Data”, Energy Economics, 31(3), 463-472.
  • Pigou, A.C. (1932), The Economics of Welfare, Fourth Edition 1932, reprinted 1960, London: MacMillan.
  • Steiner, F. (2000), “Regulation, Industry Structure, and Performance in the Electricity Supply Industry”, OECD Economics Department Working Papers, No. 238.
  • Stigler, G.J. & C. Friedland (1962), “What Can Regulators Regulate? The Case of Electricity”, The Journal of Law and Economics, 5, 1-16.
  • Stigler, G.J. (1971), “The Theory of Economic Regulation”, The Bell Journal of Economics and Management Science, 2(1), 3-21.
  • Thatcher, M. (2005), “The Third Force? Independent Regulatory Agencies and Elected Politicians in Europe”, Governance: An International Journal of Policy, Administration, and Institutions, 18(3), 347-373.
  • Treisman, D. (2000), “The Causes of Corruption: A Cross-National Study”, Journal of Public Economics, 76(3), 399-457.
  • World Bank (2009), Deterring Corruption and Improving Governance in the Electricity Sector, Energy, Transport & Water Department and Finance, Economics & Urban Department.
  • Wren-Lewis, L. (2015), “Do infrastructure reforms reduce the effect of corruption? Theory and evidence from Latin America and the Caribbean”, The World Bank Economic Review, 29(2), 353-384.
  • Zhang, Y.F. et al. (2002), “Electricity Sector Reform in Developing Countries: An Econometric Assessment of the Effects of Privatization, Competition and Regulation”, Centre on Regulation and Competition-Manchester, Institute for Development Policy and Management Working Paper, No. 31.
There are 44 citations in total.

Details

Primary Language English
Subjects Economics, Political Economy, Applied Economics (Other)
Journal Section Articles
Authors

Mustafa Kadir Doğan 0000-0002-2901-3492

Funda Altun 0000-0001-7418-7267

Early Pub Date April 28, 2024
Publication Date April 28, 2024
Submission Date January 15, 2023
Published in Issue Year 2024 Volume: 32 Issue: 60

Cite

APA Doğan, M. K., & Altun, F. (2024). Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets. Sosyoekonomi, 32(60), 73-93. https://doi.org/10.17233/sosyoekonomi.2024.02.04
AMA Doğan MK, Altun F. Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets. Sosyoekonomi. April 2024;32(60):73-93. doi:10.17233/sosyoekonomi.2024.02.04
Chicago Doğan, Mustafa Kadir, and Funda Altun. “Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets”. Sosyoekonomi 32, no. 60 (April 2024): 73-93. https://doi.org/10.17233/sosyoekonomi.2024.02.04.
EndNote Doğan MK, Altun F (April 1, 2024) Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets. Sosyoekonomi 32 60 73–93.
IEEE M. K. Doğan and F. Altun, “Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets”, Sosyoekonomi, vol. 32, no. 60, pp. 73–93, 2024, doi: 10.17233/sosyoekonomi.2024.02.04.
ISNAD Doğan, Mustafa Kadir - Altun, Funda. “Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets”. Sosyoekonomi 32/60 (April 2024), 73-93. https://doi.org/10.17233/sosyoekonomi.2024.02.04.
JAMA Doğan MK, Altun F. Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets. Sosyoekonomi. 2024;32:73–93.
MLA Doğan, Mustafa Kadir and Funda Altun. “Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets”. Sosyoekonomi, vol. 32, no. 60, 2024, pp. 73-93, doi:10.17233/sosyoekonomi.2024.02.04.
Vancouver Doğan MK, Altun F. Impact of Corruption on Utility Prices: A Theoretical and Empirical Analysis for the Electricity Markets. Sosyoekonomi. 2024;32(60):73-9.
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