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International Differences in Telephone Rate Structures and the Organization of Business Subscribers

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Author Info

  • Globerman, Steven
  • Kadonaga, Daryl

Abstract

This study examines the ratio of long-distance to local telephone prices across a sample of developed countries. Using regression analysis, support is provided for the hypothesis that long-distance prices will be lower relative to local prices to the extent that large business subscribers are a larger share of the population of subscribers; however, the lobbying impact of business subscribers interacts with the anticipated deadweight costs of cross-subsidization. Prior competitive entry into the telecommunications sector is also associated with lower relative long-distance prices. Copyright 1994 by Kluwer Academic Publishers

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Bibliographic Info

Article provided by Springer in its journal Public Choice.

Volume (Year): 80 (1994)
Issue (Month): 1-2 (July)
Pages: 129-42

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Handle: RePEc:kap:pubcho:v:80:y:1994:i:1-2:p:129-42

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Web page: http://www.springerlink.com/link.asp?id=100332

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Cited by:
  1. Potters, Jan & Sloof, Randolph, 1996. "Interest groups: A survey of empirical models that try to assess their influence," European Journal of Political Economy, Elsevier, vol. 12(3), pages 403-442, November.
  2. Dino Falaschetti, 2003. "Can latent groups influence policy decisions? The case of telecommunications policy," Public Economics 0311002, EconWPA.

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