Incentive regulation in local telecommunications: The effects on price markups |
| |
Authors: | Sarah B Eckenrod |
| |
Institution: | (1) University of Massachusetts Dartmouth, 285 Old Westport Road, North Dartmouth, MA 02747, USA |
| |
Abstract: | 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.
|
| |
Keywords: | Telecommunications Regulation Price cap Translog |
本文献已被 SpringerLink 等数据库收录! |
|