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Entry, Access Pricing, and Welfare in the Telecommunications Industry

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Author Info

  • Stefan Behringer

    ()
    (Economics Department, Frankfurt University)

Abstract

This paper looks at the effects of entry on welfare in the telecommunication industry. The equilibrium pricing parameters for an incumbent (state) monopoly and for a duopoly situation are determined in which access charges are chosen non-reciprocally. A welfare comparison between the monopoly and duopoly equilibrium situation is undertaken and the welfare consequences of alternative access pricing regimes are investigated.

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Bibliographic Info

Paper provided by JEPS in its series JEPS Working Papers with number 05-003.

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Length: 22 pages
Date of creation: Jul 2005
Date of revision:
Handle: RePEc:jep:wpaper:05003

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

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Keywords: Telecommunications; access pricing;

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References

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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  1. Behringer, Stefan, 2008. "Asymmetric Equilibria and Non-Cooperative Access Pricing in Telecommunications," MPRA Paper 11795, 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.
  3. Jean-Jacques Laffont & Patrick Rey & Jean Tirole, 1998. "Network Competition: II. Price Discrimination," RAND Journal of Economics, The RAND Corporation, vol. 29(1), pages 38-56, Spring.
  4. Armstrong, M., 1996. "Network interconnection," Discussion Paper Series In Economics And Econometrics 9625, Economics Division, School of Social Sciences, University of Southampton.
  5. Gans, J.S. & King, S.P., 2000. "Using 'Bill and Keep' Interconnect Arrangements to Soften Network Competiti on," Department of Economics - Working Papers Series 739, The University of Melbourne.
  6. N. Gregory Mankiw & Michael D. Whinston, 1986. "Free Entry and Social Inefficiency," RAND Journal of Economics, The RAND Corporation, vol. 17(1), pages 48-58, Spring.
  7. Armstrong, Mark & Wright, Julian, 2007. "Mobile call termination in the UK," MPRA Paper 2344, University Library of Munich, Germany.
  8. repec:eee:ecolet:v:71:y:2001:i:3:p:413-42 is not listed on IDEAS
  9. Stefan Behringer, 2005. "Equilibrium non-reciprocal Access Pricing in the Telecommunication Industry," JEPS Working Papers 05-002, JEPS.
  10. Cambini, Carlo & Valletti, Tommaso M., 2003. "Network competition with price discrimination: 'bill-and-keep' is not so bad after all," Economics Letters, Elsevier, vol. 81(2), pages 205-213, November.
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Citations

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Cited by:
  1. Stefan Behringer, 2006. "Asymmetric Equilibria and Non-cooperative Access Pricing in Telecommunications," JEPS Working Papers 06-005, JEPS.
  2. Baranes, Edmond & Poudou, Jean-Christophe, 2010. "Cost-based access regulation and collusion in a differentiated duopoly," Economics Letters, Elsevier, vol. 106(3), pages 172-176, March.
  3. Ahmet Özçam, 2012. "The Public Policy Implications of the Persistence of a Monopoly Versus a Duopolistic Market," Bogazici Journal of Economics and Administrative Sciences, Bogazici University, Department of Economics, vol. 26(1), pages 67-79.

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