THE EFFECTS OF OWNERSHIP FORM ON PROFIT MAXIMIZATION AND COST MINIMIZATION BEHAVIOR WITHIN MUNICIPAL AND COOPERATIVE ELECTRICAL DISTRIBUTION UTILITIES

Authors
CLAGGETT ET HOLLAS DR STANSELL SR
Citation
Et. Claggett et al., THE EFFECTS OF OWNERSHIP FORM ON PROFIT MAXIMIZATION AND COST MINIMIZATION BEHAVIOR WITHIN MUNICIPAL AND COOPERATIVE ELECTRICAL DISTRIBUTION UTILITIES, The Quarterly review of economics and finance, 35, 1995, pp. 533-550
Citations number
39
Categorie Soggetti
Business Finance",Economics
Journal title
The Quarterly review of economics and finance → ACNP
ISSN journal
10629769
Volume
35
Year of publication
1995
Pages
533 - 550
Database
ISI
SICI code
1062-9769(1995)35:<533:TEOOFO>2.0.ZU;2-G
Abstract
This paper examines the economic efficiency of a sample of municipal a nd cooperative Tennessee Valley Authority electric distributors. Evide nce of cost-minimizing behavior in the use of labor and purchased elec tricity is exhibited by both organizational forms. Cooperatives appear to be somewhat more absolute price efficient than municipals. However , neither type of utility appears to maximize profits. Municipals appe ar to be more technically efficient than cooperatives.