q-exponential behavior of expected aggregated supply curves in deregulated electricity markets

TL;DR

This paper demonstrates that expected aggregated supply curves in simplified deregulated electricity markets exhibit q-exponential behavior, supported by evidence from idealized models without illegal interactions among firms.

Contribution

It provides the first evidence that q-exponentiality appears in the expected supply curves of simplified deregulated electricity markets.

Findings

Expected supply curves follow q-exponential patterns.

Q-exponentiality is present even in idealized markets without illegal interactions.

Supports the hypothesis that q-exponential behavior is inherent in such markets.

Abstract

It has been observed that the expected aggregated supply curves of the colombian electricity market present q-exponential behavior. The purpose of this article is to present evidence supporting the fact that q-exponentiality is already present in the expected aggregated supply curve of certain extremely simple idealized deregulated electricity markets where illegal interaction among competing firms is precluded.