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Equity vs Efficiency in Telecom Spectrum Management in India

Author

Listed:
  • Chapalamadugu Sambasiva Rao

    (Ch. Sambasiva Rao is Associate Fellow, National Council of Applied Economic Research (NCAER), New Delhi, India; e-mail: csrao@ncaer.org)

Abstract

The phenomenal growth in mobile communications and introduction of third generation (3G) mobile services have put focus on spectrum management in India. The radio spectrum is a limited natural resource that is fully renewable without incurring costs. Therefore, it must be efficiently used and equitably distributed. For this to take place, present spectrum allocation policy in India requires a number of modifications. Further, the government has selected the market approach for allocating spectrum for 3G mobile services. The market approach, unless accompanied by relevant policy changes, at the most will result in maximised receipts from spectrum auctions. The elements of spectrum reform that help realise development potential of telecommunications are brought out in this paper.

Suggested Citation

  • Chapalamadugu Sambasiva Rao, 2007. "Equity vs Efficiency in Telecom Spectrum Management in India," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 1(3), pages 321-335, July.
    • Handle: RePEc:sae:mareco:v:1:y:2007:i:3:p:321-335
    DOI: 10.1177/097380100700100304
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    Keywords

    JEL Classification: H41; JEL Classification: L96; JEL Classification: L98; Spectrum Management; 3G Services; Spectrum Reform; Equity and Efficiency; India's Telecom Policy; Growth of Telecom Services;
    All these keywords.

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • L98 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Government Policy

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