Misuse of the ‘modified’ t statistic in regulatory telecommunications

Since the enactment of the Telecommunications Act of 1996 (1996), extensive expert testimony has justified use of the ‘modified’ t statistic (Brownie et al. Biometrics 46 (1990) 259–266) for performing two-sample hypothesis tests on Bell companies’ CLEC and ILEC performance measurement data. This paper demonstrates how key statistical claims made about the ‘modified’ t in this setting are false, leading not only to incorrect inferences as it currently is being used, but also to the possible undermining of the primary stated objective of the Act—the promotion of competition in the newly deregulated local telephone service markets. A simulation study provides strong evidence for the use of several other easily-implemented statistical procedures in this context; they should be useful in other settings as well.     

National telecommunications planning in Brazil

During the past 15 years Brazil has undergone a process of rapid modernization in its telecommunications. Starting from a chaotic situation, institutional foundations were established and an ambitious development programme carried out. A fundamental piece of this programme was a planning process that proved to be flexible and adequate to handle the social and economic disparities of the country. The policies that have emerged from the planning process were implemented and provided good economic results and satisfaction to customers.     

Telecommunications in the land of the Thunder Dragon: recent developments in Bhutan

This paper charts the development of telecommunications in Bhutan. Since the introduction of telecommunications services in 1963 Bhutan has faced many challenges as it has sought to roll out a network that covers the whole population and country. A small population, a mountainous geography, a transitional economy and a unique approach to development—Gross National Happiness—present many challenges that need to be overcome if the telecommunications industry is to develop further. Added to this is the decision of Bhutan to join the outside world through membership of the ITU, APT and WTO that has added liberalisation and privatisation to the challenges faced by Bhutan. This paper identifies two broad policy options that Bhutan could adopt—network expansion nationally or investment concentration towards urban areas. The authors conclude that due to the limited resources available to Bhutan these policies are contradictory and will take the telecommunications industry in quite different directions if adopted.     

Incentive regulation in local telecommunications: The effects on price markups

The governing bodies of the telecommunications industry instituted a major shift from rate of return to price cap regulation in an effort to foster competition and improve efficiency. This paper focuses on the local exchange market and examines the price markup before and after the implementation of price cap regulation to measure the effects of the change on consumer welfare. The average price markup increased slightly after price cap regulation; however, the average price decreased, indicating that consumers benefited without firms losing from the regulatory shift.      

Israeli cellular telecommunications policy

Recent research has emphasized the role of regulatory measures in the adoption of new technologies, specifically mobile telephony. This study describes in detail the three phases of cellular licensing in Israel. It surveys policy changes and questions their contribution to the public interest, while discussing their underlying objectives. It reveals a pattern by which Israeli regulatory policy has shifted from a public interest focus to a government interest/corporate interest focus.     

The changing nature of the ITU Plenipotentiary

The Plenipotentiary Conference is the supreme organ of the International Telecommunication Union (ITU). Since the Nairobi Plenipotentiary in 1982, there has been much debate about the role of the Plenipotentiary and even the future of the ITU in the continuing telecommunications revolution. This article explores the major attributes of the Plenipotentiary by comparing the Nairobi Conference with the five post-second world war Plenipotentiaries that preceded it. Criticisms are evaluated and suggestions for improvement are made.     

Competition in telecommunications

The author examines the impact of competition from both domestic and international perspectives. He provides a critique of the pro-competition argument, although a number of advantages of competition are also outlined. The advantages are discussed in relation to equipment and services. International trends towards competition are then described and the disadvantages of such trends are debated in relation to cross-subsidization, interconnection, the telecommunications manufacturing industry, and the market structure. Finally, competition in the international arena is discussed.     

Deformalizing the international radio arrangements

With telecommunications technology and patterns of use changing ever more rapidly, formal multilateral Administrative Conferences on radiocommunication are becoming more unmanageable and the results less satisfactory. This article contrasts the formulation of the ITU's radio arrangements with the Consultative Committee process for telecommunication arrangements. The author argues that the time has come to deformalize the radio arrangements. Improvements in flexibility, knowledge level and cost benefits would greatly outweigh any liabilities, and would enhance international cooperation.     

Telecommunications planning and the power of expertise

The article points out the often neglected political importance of telecommunications planning experts. It does so by first locating policy planning in the larger socletal phenomenon of technocracy. Next discussed is the relationship of policy planners to political power. Finally the article examines some instances of national telecommunications planning, in particular the USA.     

Modelling multinational telecommunications demand with limited data

Forecasting the diffusion of innovations in the telecommunications sector is a constantly recurring problem for national providers. The problem is characterised by short data series making the estimation of model parameters unreliable. However, the same innovation will be diffusing simultaneously in other national markets, although with a different start date. The use of this cross-sectional data in constructing innovation diffusion models is investigated here. Four models for pooling the cross-sectional data are described and two diffusion models are discussed although only one, the Gompertz model is used throughout. Three innovation data sets are used in the evaluation of the models: digital cellular telephones, ISDN connections and fax connections. The pooled diffusion forecasts proved to be more accurate in several comparisons relative to a naïve benchmark and to individual forecasts when available.