This paper discusses the brief history of market (price) regulation of electricity and gas. The fight against monopolies has a history of more than 100 years in the USA. In this article, I focus on price regulation, which represents a narrower section of regulation. In the paper I discuss the phases of this regulation: Appearance of anti-monopoly combat; New Deal and the welfare state (and the concept of welfare state in Hungary in the nineties); Liberalisation; Bargaining and agreement. The old definition of regulation is modified in the following way: regulation democratically controls the prices, sales, and production of companies, and influences these in order to achieve certain social objectives.
Averch, H. — Johnson, L. L. (1962): Behavior of the Firm Under Regulatory Constraint. American Economic Review 52(5): 1053–1069.
Johnson L. L., 'Behavior of the Firm Under Regulatory Constraint' (1962) 52American Economic Review: 1053-1069.
Johnson L. L.Behavior of the Firm Under Regulatory ConstraintAmerican Economic Review19625210531069)| false