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The Impact of the Regulatory Process and Price Cap Regulation in Latin American Telecommunications Markets

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  • Agustin J. Ros

    (NERA Economic Consulting)

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    Abstract

    I empirically examine the impact of the liberalization and regulatory process on the Latin American telecommunications sector during the period 1990-1998. I find that privatisation and the existence of an independent regulator are positively associated with teledensity and operating efficiency while competition and price cap regulation are strongly positively associated with teledensity. This study confirms results in previous research that identify the importance of an independent regulator, competition and privatisation. Moreover, this study provides an initial examination of the positive impact that price cap regulation has had on telecommunications market in Latin America.

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    Bibliographic Info

    Article provided by De Gruyter in its journal Review of Network Economics.

    Volume (Year): 2 (2003)
    Issue (Month): 3 ()
    Pages: 4

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    Handle: RePEc:bpj:rneart:v:2:y:2003:i:3:n:4

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    Web page: http://www.degruyter.com

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    Web: http://www.degruyter.com/view/j/rne

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    Cited by:
    1. Gual Jordi & Trillas Francesc, 2006. "Telecommunications Policies: Measurement and Determinants," Review of Network Economics, De Gruyter, vol. 5(2), pages 1-24, June.
    2. Dewenter, Ralf & Kruse, Jörn, 2010. "Calling party pays or receiving party pays? The diffusion of mobile telephony with endogenous regulation," DICE Discussion Papers 10, Heinrich‐Heine‐Universität Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).
    3. Gasmi, Farid & Recuero Virto, Laura, 2008. "The Determinants and Impact of Telecommunications Reform in Developping Countries," IDEI Working Papers 530, Institut d'Économie Industrielle (IDEI), Toulouse.
    4. Estache, Antonio & Goicoechea, Ana & Trujillo, Lourdes, 2006. "Utilities reforms and corruption in developing countries," Policy Research Working Paper Series 4081, The World Bank.
    5. Montoya, Miguel A. & Trillas, Francesc, 2007. "The measurement of the independence of telecommunications regulatory agencies in Latin America and the Caribbean," Utilities Policy, Elsevier, vol. 15(3), pages 182-190, September.
    6. Estache, Antonio & Goicoechea, Ana & Manacorda, Marco, 2006. "Telecommunications performance, reforms, and governance," Policy Research Working Paper Series 3822, The World Bank.
    7. Antonio Estache & L. Wren-Lewis, 2008. "Towards a Theory of Regulation for Developing Countries: Following Laffont's Lead," Working Papers ECARES 2008_018, ULB -- Universite Libre de Bruxelles.
    8. Nagayama, Hiroaki, 2010. "Impacts on investments, and transmission/distribution loss through power sector reforms," Energy Policy, Elsevier, vol. 38(7), pages 3453-3467, July.

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