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A spatial and economic analysis for telecommunications: Evidence from the European Union

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Abstract

This paper evaluates the role of a number of determinants of telecommunication services in the European Union. We use a logistic model with spatial covariates to estimate the demand function for telecommunications in the Union. Our results show that different types of interconnections generate diverse estimates for country specific demand. The impact on telecommunications from countries with spatial, economic or social similarities differs based on those characteristics. Omitted variable bias from not modeling spatial interdependence is limited in models under spatial connectivity criteria. This satisfies the statistical inference drawn by previous empirical studies regarding determinants of telecommunications.

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File URL: http://www.ucema.edu.ar/publicaciones/download/volume12/agiakloglou.pdf
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Bibliographic Info

Article provided by Universidad del CEMA in its journal Journal of Applied Economics.

Volume (Year): XII (2009)
Issue (Month): (May)
Pages: 11-32

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Handle: RePEc:cem:jaecon:v:12:y:2009:n:1:p:11-32

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Keywords: decay effect; telephone traffic demand; spatial econometrics;

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Cited by:
  1. Agiakloglou, Christos & Gkouvakis, Michalis, 2012. "Causal interrelations among market fundamentals: Evidence from the Europen telecommunications sector," 23rd European Regional ITS Conference, Vienna 2012 60387, International Telecommunications Society (ITS).

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