Renewable Electricity Policy and Market Integration
研究了跨国电力市场中各国可再生能源政策如何影响电价、输电投资和市场一体化，发现追求本国福利的政策会导致输电投资不足和市场扭曲，而协调政策工具可改善福利。
I analyze renewable electricity policy in a multinational electricity market with transmission investment. If national policy makers choose support schemes to maximize domestic welfare, a trade policy motive arises operating independently of any direct benefit of renewable electricity. The model predicts electricity importing (exporting) countries to choose policies which reduce (increase) electricity prices. A narrow pursuit of domestic objectives distorts transmission investment, and thereby market integration, below the efficient level. Distortions cannot be corrected by imposing national renewable targets alone. Instead, subsidies to transmission investment and a harmonization of and reduction in the number of policy instruments can improve welfare.