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Equilibrium non-reciprocal Access Pricing in the Telecommunication Industry

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Author Info

  • Stefan Behringer

    ()
    (Economics Department, Frankfurt University)

Abstract

This paper looks at competition in the telecommunication industry. We determine the equilibrium pricing parameters for a duopoly situation with a particular emphasis on the role of competitively chosen non-reciprocal access prices. In the symmetric equilibrium the networks optimally choose positive access charge markups which reconciles empirical observation with the theoretical economics literature.

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Bibliographic Info

Paper provided by JEPS in its series JEPS Working Papers with number 05-002.

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Length: 20 pages
Date of creation: Jul 2005
Date of revision:
Handle: RePEc:jep:wpaper:05002

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Web page: http://jeps.repec.org/

Related research

Keywords: Telecommunications; access pricing;

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References

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  1. Armstrong, Mark, 2001. "The theory of access pricing and interconnection," MPRA Paper 15608, University Library of Munich, Germany.
  2. Armstrong, Mark, 1998. "Network Interconnection in Telecommunications," Economic Journal, Royal Economic Society, vol. 108(448), pages 545-64, May.
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Cited by:
  1. Behringer, Stefan, 2008. "Asymmetric Equilibria and Non-Cooperative Access Pricing in Telecommunications," MPRA Paper 11795, University Library of Munich, Germany.
  2. Stefan Behringer, 2005. "Entry, Access Pricing, and Welfare in the Telecommunications Industry," JEPS Working Papers 05-003, JEPS.

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