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The interconnection prices in telecomunications: from theory to practice

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Author Info
Joan Calzada () (Universidad de Barcelona)
Francesc Trillas () (Universidad Autónoma de Barcelona)
Abstract

This paper evaluates the main measures that have been used to regulate the interconnection prices in the telecommunication sector. We show that many of the regulations that are applying the vast majority of countries have very little theoretical support, and we identify the restrictions that prevent a more efficient intervention in the sector. In order to conduct this research, we firstly review the results of the theoretical literature on one and two-ways interconnections and we explain the problems that the national regulatory agencies have had when introducing the lessons of the academic contributions in their regulations. Secondly, we analyse the cost orientated interconnection prices, which are at present the regulatory practices most widely used. We evaluate the efficiency of some versions of this mechanism and explain the efforts that are being made to improve it.

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Publisher Info
Article provided by IEF in its journal Hacienda Pública Española/Revista de Economía Pública.

Volume (Year): 173 (2005)
Issue (Month): 2 (June)
Pages: 85-125
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:hpe:journl:y:2005:v:173:i:2:p:85-125

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Related research
Keywords: Telecommunications; regulation; interconnection; access charges;

Find related papers by JEL classification:
L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
D43 - Microeconomics - - Market Structure and Pricing - - - Oligopoly and Other Forms of Market Imperfection

References listed on IDEAS
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