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Subsidios cruzados: el caso del sector postal

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Author Info

  • Leslie Bravo Chew

    ()
    (Universidad Carlos III de Madrid)

  • Luis Fernando Gamboa

    ()
    (Universidad del Rosario)

Abstract

This document offers a theoretical price regulation model for the postal sector to evaluate the existence of cross subsidies between the regulated and competitive parts of the postal sector. It analyzes agents’ incentives to use cross subsidization when prices are regulated by the Ramsey prices or by the global price cap. It shows that cross subsidies constrain and distort the liberalization of the sector and it is important to avoid them in favor of competition.

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File URL: http://www.uexternado.edu.co/facecono/ecoinstitucional/workingpapers/lbravo15.pdf
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Bibliographic Info

Article provided by Universidad Externado de Colombia - Facultad de Economía in its journal Revista de Economía Institucional.

Volume (Year): 8 (2006)
Issue (Month): 15 (July-December)
Pages: 251-268

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Handle: RePEc:rei:ecoins:v:8:y:2006:i:15:p:251-268

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Keywords: postal sector; regulation; cross subsidies;

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  1. Cremer, Helmuth, et al, 2001. "Entry and Competition in the Postal Market: Foundations for the Construction of Entry Scenarios," Journal of Regulatory Economics, Springer, vol. 19(2), pages 107-21, March.
  2. Jean-Jacques Laffont & Jean Tirole, 2001. "Competition in Telecommunications," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262621509, January.
  3. Billette de Villemeur, Etienne, et al, 2003. "Optimal Pricing and Price-Cap Regulation in the Postal Sector," Journal of Regulatory Economics, Springer, vol. 24(1), pages 49-62, July.
  4. De Donder, Philippe, 2006. "Access Pricing in the Postal Sector," IDEI Working Papers 319, Institut d'Économie Industrielle (IDEI), Toulouse.
  5. Cazals, Catherine & Fève, Frédérique & Florens, Jean-Pierre & Roy, Bernard, 2004. "Delivery Costs II: Back to Parametric Models," IDEI Working Papers 286, Institut d'Économie Industrielle (IDEI), Toulouse.
  6. Faulhaber, Gerald R, 1975. "Cross-Subsidization: Pricing in Public Enterprises," American Economic Review, American Economic Association, vol. 65(5), pages 966-77, December.
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