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Pricing natural gas distribution in Mexico
(Centro de Investigación y Docencia Económicas, División de Economía, 2002)
We examine regulation of distribution tariffs in the Mexican natural gas industry. Average revenue in each period is constrained not to exceed an upper bound and is calculated as the ratio of total revenue to output in the ...
Implications of the elasticity of natural gas in Mexico on investment in gas pipelines and in setting the arbitrage point
(Centro de Investigación y Docencia Económicas, División de Economía, 2004)
We address the optimal timing of investment in gas pipelines when the demand for gas is stochastic. We will show that this is a problem that can be solved in theory, but the practical solution depends on functions and ...