Lunch Seminar: Sergei Severinov - University of British Columbia

November 8, 2017
1:00 pmto2:00 pm

Bilateral Communication and Partnership Formation

We consider match formation between two parties, such as marriage, merger or partnership formation. Each party has private information about the value of the match, which creates friction in the matching process. We focus on the role of bilateral communication in this setting and investigate how such communication should be organized in order to improve the matching process. Different communication protocols are considered, and their outcomes are characterized. Our main results indicate that a simple communication protocol which involves one round of communication is sufficient, in the sense that the matching outcome is invariant to length and order of communication. Our analysis also provides a perspective on the role of a neutral mechanism designer or a mediator in this process.

Lunch Seminar: Darryl Biggar - Australian Competition & Consumer Commission

November 17, 2017
1:00 pmto2:00 pm

Efficient Distribution Network Pricing in the Context of the Electricity Industry Transformation in Australia

The electricity industry is in the midst of its most important transformation since the early twentieth century. This transformation is leading to substantial investment in distributed energy resources – controllable devices for producing, storing and consuming electric power which are connected to the distribution grid (e.g., solar PV, domestic storage, electric vehicles and smart appliances). The electricity transformation is placing historic distribution pricing arrangements under significant pressure. If we are to achieve efficient use of and investment in distributed energy resources, and if networks are to receive sufficient revenue to cover their costs, network pricing arrangements will have to change. But what does efficient distribution network pricing look like? How can efficient prices be computed? What institutional arrangements do we need to implement efficient distribution network pricing? This presentation will discuss the theory of efficient distribution network pricing and the policy issues associated with implementing efficient pricing arrangements in Australia.

Aleh Tsyvinski - Yale University

September 25, 2017
5:00 pmto6:30 pm

Generalized Compensation Principle