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Regulation and Diffusion of Mobile Telecommunication Services: An Explorative Case Study Approach of Static and Dynamic Regulation in Mobile Telephony Regulation

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  • Lüftl, Andreas
  • Cardona, Mélisande

Abstract

Regulation of mobile termination rates is implemented in many countries and disputed heavily in research literature for its effects. By classifying different regulatory approaches of cost calculation and symmetry into static and dynamic regulation, possible effects on diffusion are extracted. These effects on diffusion are investigated further by analyzing in detail the mobile termination regulation of four countries and contrasting it with the resulted diffusion. Though generally asymmetric regulation and generous cost accounting seem to foster diffusion, no strict relationship can be found.

Suggested Citation

  • Lüftl, Andreas & Cardona, Mélisande, 2009. "Regulation and Diffusion of Mobile Telecommunication Services: An Explorative Case Study Approach of Static and Dynamic Regulation in Mobile Telephony Regulation," The Journal of Economic Asymmetries, Elsevier, vol. 6(2), pages 83-109.
  • Handle: RePEc:eee:joecas:v:6:y:2009:i:2:p:83-109
    DOI: 10.1016/j.jeca.2009.02.008
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    References listed on IDEAS

    as
    1. Albon, Rob & York, Richard, 2008. "Should mobile subscription be subsidised in mature markets?," Telecommunications Policy, Elsevier, vol. 32(5), pages 294-306, June.
    2. Julian Wright, 2002. "Access Pricing under Competition: An Application to Cellular Networks," Journal of Industrial Economics, Wiley Blackwell, vol. 50(3), pages 289-315, September.
    3. Peitz, Martin, 2005. "Asymmetric access price regulation in telecommunications markets," European Economic Review, Elsevier, vol. 49(2), pages 341-358, February.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    L51; L96; Static and dynamic efficiency; Diffusion; Mobile termination rates; Regulation; Cost accounting; LRIC;
    All these keywords.

    JEL classification:

    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

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