Depreciation in a Simple Regulatory Model: Reply
Volume: Volume 5, No. 1
Issue: Spring 1974
Pages: pp. 233-234
Authors: Bruce L. Jaffee
Title: Depreciation in a Simple Regulatory Model: Reply
Abstract: Several difficulties remain with the inclusion of depreciation in a regulatory model, even after Linhart's useful comments and extensions. His liquidity constraint is overly restrictive, there are difficulties in selecting the optimal discount rate(s), and the classification of a depreciation path as uniformly accelerated is incorrect.
JEL Classification
Regulation of Public Utilities (6130)
Business Finance (5210)