Investment and welfare implications of the ownership structure of overlapping networks
AbstractWe analyze the impact of the ownership structure of cable television firms on the incentives to upgrade the cable networks to offer telecommunication services. First, we show that dual ownership of a local telephone network and a cable network, compared with separate ownership, may increase or decrease incentives to invest in upgrading the cable television network. Coordination economies benefit dual ownership, and business-stealing benefits separate ownership. Second, we perform a welfare analysis of the investment decision and third, a welfare analysis of the ownership structure.
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Bibliographic InfoArticle provided by Elsevier in its journal Information Economics and Policy.
Volume (Year): 20 (2008)
Issue (Month): 1 (March)
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Web page: http://www.elsevier.com/locate/inca/505549
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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- Pereira, Pedro & Ribeiro, Tiago, 2011.
"The impact on broadband access to the Internet of the dual ownership of telephone and cable networks,"
International Journal of Industrial Organization,
Elsevier, vol. 29(2), pages 283-293, March.
- Pedro Pereira & Tiago Ribeiro, 2006. "The Impact on Broadband Access to the Internet of the Dual Ownership of Telephone and Cable Networks," Working Papers 17, Portuguese Competition Authority.
- Pedro Pereira & Tiago Ribeiro, 2006. "The Impact on Broadband Access to the Internet of the Dual Ownership of Telephone and Cable Networks," Working Papers 06-10, NET Institute, revised Aug 2006.
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