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Compensating the Net Cost of Universal Postal Services

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  • Christian Jaag

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Abstract

This paper analyzes the net cost of universal service obligations in the postal sector after full liberalization and the potential burden they represent for the universal service provider. It considers various interpretations of what an ‚unfair burden. might be and discusses the competitive impact of corresponding compensation scenarios by means of a stylized theoretical model with endogenous entry and coverage decisions.

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File URL: http://www.swiss-economics.ch/RePEc/files/0017Jaag.pdf
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Bibliographic Info

Paper provided by Swiss Economics in its series Working Papers with number 0017.

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Length: 19 pages
Date of creation: May 2010
Date of revision:
Handle: RePEc:chc:wpaper:0017

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Web page: http://www.swiss-economics.ch
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Related research

Keywords: Universal service obligation; Unfair burden; Postal sector;

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References

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  1. Christian Jaag, 2011. "Entry Deterrence and the Calculation of the Net Cost of Universal Service Obligations," Review of Network Economics, De Gruyter, vol. 10(1), pages 4.
  2. Christian Jaag & Martin Koller & Urs Trinkner, 2008. "Calculating the Cost of the Universal Service Obligation: The Need for a Global Approach," Working Papers 0010, Swiss Economics, revised Jul 2008.
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Cited by:
  1. Helmut M. Dietl & Christian Jaag & Markus Lang & Urs W.O. Trinkner, 2011. "Competition and Welfare Effects of VAT Exemptions," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 19.
  2. Christian Jaag & Urs Trinkner, 2011. "The interaction between universal service costing and financing in the postal sector: a calibrated approach," Journal of Regulatory Economics, Springer, vol. 39(1), pages 89-110, February.

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