Is Market‐Oriented Reform Producing a ‘Two‐Track’ Europe? Evidence from Electricity and Telecommunications

19 Pages Posted: 21 Nov 2011

See all articles by Judith Clifton

Judith Clifton

University of Cantabria

Daniel Díaz-Fuentes

Universidad de Cantabria

Marcos Fernández‐Gutiérrez

affiliation not provided to SSRN

Julio Revuelta

University of Cantabria - Department of Economics

Date Written: December 2011

Abstract

The European Commission has formally recognized that adequate provision of basic household services, including energy, communications, water and transport, is key to ensuring equity, social cohesion and solidarity. Yet little research has been done on the impact of the reform of these services in this regard. This article offers an innovative way to explore such questions by analyzing and contrasting stated and revealed preferences on citizen satisfaction with and expenditure on two services, telecommunications and electricity, in two large countries, Spain and the UK. We find evidence that in telecommunications, but not in electricity, reform has led to a ‘two‐track’ Europe, where citizens who are elderly, not working or the less‐educated behave differently in the market, with the result that they are less satisfied with these services than their younger, working, better‐educated, counterparts.

Suggested Citation

Clifton, Judith and Diaz-Fuentes, Daniel and Fernández‐Gutiérrez, Marcos and Revuelta, Julio, Is Market‐Oriented Reform Producing a ‘Two‐Track’ Europe? Evidence from Electricity and Telecommunications (December 2011). Annals of Public and Cooperative Economics, Vol. 82, Issue 4, pp. 495-513, 2011. Available at SSRN: https://ssrn.com/abstract=1962470 or http://dx.doi.org/10.1111/j.1467-8292.2011.00444.x

Judith Clifton (Contact Author)

University of Cantabria ( email )

Avda. Los Castros, s/n
Santander 39005
Spain

Daniel Diaz-Fuentes

Universidad de Cantabria ( email )

Av. Los Castros s/n
Santander 39005, Cantabria 39005
Spain

HOME PAGE: http://personales.unican.es/diazd/

Marcos Fernández‐Gutiérrez

affiliation not provided to SSRN

No Address Available

Julio Revuelta

University of Cantabria - Department of Economics ( email )

Av. Los Castros s/n
Santander 39005, Cantabria 39005
Spain

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