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Phasing Out Sector-Specific Regulation in Competitive Telecommunications

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  • Knieps, Gunter

Abstract

After overall entry deregulation, regulation of market power can only be justified in local telecommunication networks as long as they constitute monopolistic bottlenecks. Technical progress leads to a gradual disappearance of monopolistic bottlenecks, pointing out the large potential for economically efficient phasing out of sector-specific regulation. In contrast, all forms of asymmetric regulation contain an intrinsic bias towards overregulation. The new telecommunications laws in Germany and Switzerland are shown to be prominent examples of asymmetric regulatory frameworks, whereby the Swiss law seems more suitable for phasing out sector-specific regulation. Copyright 1997 by WWZ and Helbing & Lichtenhahn Verlag AG

Suggested Citation

  • Knieps, Gunter, 1997. "Phasing Out Sector-Specific Regulation in Competitive Telecommunications," Kyklos, Wiley Blackwell, vol. 50(3), pages 325-339.
  • Handle: RePEc:bla:kyklos:v:50:y:1997:i:3:p:325-39
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    Citations

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    Cited by:

    1. Knieps, Günter & Zenhäusern, Patrick, 2009. "Stepping stones and access holidays: The fallacies of regulatory micro-management," Discussion Papers 123, University of Freiburg, Institute for Transport Economics and Regional Policy.
    2. Scheele, Ulrich, 2007. "Privatisierung, Liberalisierung und Deregulierung in netzgebundenen Infrastruktursektoren," Forschungs- und Sitzungsberichte der ARL: Aufsätze,in: Wandel der Stromversorgung und räumliche Politik, pages 35-67 Akademie für Raumforschung und Landesplanung (ARL) - Leibniz-Forum für Raumwissenschaften.
    3. Knieps, Günter, 2004. "Limits to the (De-)Regulation of Transport Services," Discussion Papers 99, University of Freiburg, Institute for Transport Economics and Regional Policy.
    4. Christine Brandstätt & Gert Brunekreeft & Nele Friedrichsen, 2013. "The Need for More Flexibility in the Regulation of Smart Grids – Stakeholder Involvement," Bremen Energy Working Papers 0013, Bremen Energy Research.
    5. Günter Knieps & Patrick Zenhäusern, 2014. "Regulatory fallacies in global telecommunications: the case of international mobile roaming," International Economics and Economic Policy, Springer, vol. 11(1), pages 63-79, February.
    6. repec:ces:ifodic:v:3:y:2005:i:4:p:14567573 is not listed on IDEAS
    7. Knieps, Günter & Zenhäusern, Patrick, 2011. "The reform process of the railway sector in Europe: A disaggregated regulatory approach," Discussion Papers 141, University of Freiburg, Institute for Transport Economics and Regional Policy.
    8. Günter Knieps, 2004. "Privatisation of Network Industries in Germany: A Disaggregated Approach," CESifo Working Paper Series 1188, CESifo Group Munich.
    9. Fraquelli, Giovanni & Vannoni, Davide, 2000. "Multidimensional performance in telecommunications, regulation and competition: analysing the European major players," Information Economics and Policy, Elsevier, vol. 12(1), pages 27-46, March.
    10. Knieps, Günter, 2014. "Market versus state in building the aviation value chain," Journal of Air Transport Management, Elsevier, vol. 41(C), pages 30-37.
    11. Günter Knieps, 2005. "Railway (De-)regulation in Germany," ifo DICE Report, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 3(4), pages 21-25, 01.
    12. Ralf Dewenter & Ulrich Heimeshoff, 2012. "Erfahrungen und Herausforderungen der Telekommunikationsregulierung in Deutschland," Vierteljahrshefte zur Wirtschaftsforschung / Quarterly Journal of Economic Research, DIW Berlin, German Institute for Economic Research, vol. 81(1), pages 9-22.
    13. repec:oup:jcomle:v:2:y:2006:i:1:p:149-158. is not listed on IDEAS
    14. Vanberg, Margit A., 2007. "Implications of Network Convergence on Local Access Regulation in the U.S. and the EU," ZEW Discussion Papers 07-039, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    15. Knieps, Günter & Weiß, Hans-Jörg, 2008. "Regulatory agencies and regulatory risk," Discussion Papers 118 [rev.], University of Freiburg, Institute for Transport Economics and Regional Policy.
    16. Stocker, Volker, 2013. "On the weal and woe of internet traffic management in Europe: A critical appraisal from a network economic perspective," 24th European Regional ITS Conference, Florence 2013 88542, International Telecommunications Society (ITS).
    17. Brunekreeft, Gert, 1997. "Local versus global price cap: A comparison of foreclosure incentives," Discussion Papers 36, University of Freiburg, Institute for Transport Economics and Regional Policy.

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