Advantageous Semi-Collusion

The textbook view that cartels increase industry profits and lower consumer welfare ignores the effects of competition in other activities. A revisionist view shows that when cartel members compete in other activities, i.e. when they semi-collude, the cartel members may be worse off and consumers better off. Using a two-stage model in which the non-production activity is R&D and is subject to technological spillovers, we show that both the traditional and revisionist views can be wrong, that consumers and producers can both be made worse off, or both better off, by a semi-collusive production cartel.     

Stromspeicher für die „Energiewende“ – eine akteursbasierte Analyse der zusätzlichen Speicherkosten

Political targets for implementing the German “energy turnaround” aiming at the ambitious extension of renewable energies to generate electricity. However, a majority of the renewable supply is provided by intermittent sources, e.g. wind and solar power. For balancing the increasing supply fluctuations additional storage options are claimed beside of an enforced grid infrastructure and a more flexible demand side. Despite of the political guidelines the economics of additional flexibility measures has to be considered. For this paper we analyse the costs of large scale stationary battery storages to be operated in wholesale markets and transmission grid level. By deriving a key figure based on a life-cycle cost approach, we are able to evaluate the additional costs of electricity of selected battery technologies (lead-acid, lithium ion, sodium sulphur, redox-flow). Moreover, current and valid parameters of the cost analysis are received by scientific and industrial stakeholders of battery systems via online survey and face-to-face interviews. According to the stakeholder estimation a nationwide operation of stationary battery storages will be established at wholesale and transmission grid level until the year 2030. The life-cycle cost analysis, which also includes estimated future cost reductions, shows that lead-acid batteries remain the cost-efficient technology, assuming about 100 storage cycles p.a. In addition, a sensitivity analysis reveals the impact of increasing annual storage cycles as well as the achievable cost reduction by economies-of-scales of the power unit of the storage system.     

Understanding the economic,daily functioning,and diabetes management burden of non-severe nocturnal hypoglycemic events in Canada: differences between type 1 and type 2

Objective:

To examine the daily functioning, diabetes management, and economic burden of non-severe nocturnal hypoglycemic events (NSNHEs) in Canada and differences in impacts by diabetes type.

Research design and methods:

A 20-min web-based survey, with items derived from the literature, expert and patient interviews, assessing the impact of NSNHEs, was administered to patients with self-reported diabetes aged ≥18 having an NSNHE in the past month.

Results:

Two thousand, two hundred and seventy-nine Canadian persons with diabetes were screened with 200 respondents meeting criteria and included in the analysis sample. Out of 87 working respondents, 15 reported on average 3.5?h of lost work (absenteeism). The reduction in work productivity (presenteeism) reported was comparable to the impact of arthritis. Other functional impacts included sleep and daily activities. Additionally, respondents’ increased their usual blood sugar monitoring practice, on average, 4.2 (SD?=?7.5) extra tests were conducted in the week following the event and reduced their insulin over the following 4.8 days. Increased healthcare utilization was also reported. Increased costs as a result of NSNHE for lost work productivity, increased diabetes management, and resource utilization was CAD 70.67 per person per year in this sample. Limitations of the study include the biases which are associated with a web-based survey and self-reported data.

Conclusions:

NSNHEs have serious consequences for patients and diabetes management practices. Greater attention to treatments which reduce NSNHEs can have a major impact on improving functioning while reducing the economic burden of diabetes.