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Estimating Telephone Demand with State Decennial Census Data from 1970-1990: Update with 2000 Data

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  • Garbacz, Christopher
  • Thompson, Herbert G, Jr

Abstract

Adding the 2000 decennial census data to our pooled logit model results in much stronger evidence that targeted subsidy programs to add poor households to the network are ineffective and very costly. Untargeted programs are about nine times more expensive than targeted programs. Overall higher penetration rates are fueled by the declining real price of access and rapid income growth in the 1990s. In addition, our estimate of the first integrated access and new services model with 2000 decennial census data suggests that cell phones and Internet are, in part, responsible for the recent surge in penetration, but precise estimates are difficult without price information. Copyright 2003 by Kluwer Academic Publishers

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  • Garbacz, Christopher & Thompson, Herbert G, Jr, 2003. "Estimating Telephone Demand with State Decennial Census Data from 1970-1990: Update with 2000 Data," Journal of Regulatory Economics, Springer, vol. 24(3), pages 373-378, November.
  • Handle: RePEc:kap:regeco:v:24:y:2003:i:3:p:373-78
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    Cited by:

    1. Chiang, Eric P. & Hauge, Janice A., 2013. "The impact of non-neutral federal regulatory policy on competition," Telecommunications Policy, Elsevier, vol. 37(11), pages 1142-1149.
    2. Ackerberg, Daniel A. & DeRemer, David R. & Riordan, Michael H. & Rosston, Gregory L. & Wimmer, Bradley S., 2014. "Estimating the impact of low-income universal service programs," International Journal of Industrial Organization, Elsevier, vol. 37(C), pages 84-98.
    3. Daniel Ackerberg & Michael Riordan & Gregory Rosston & Bradley Wimmer, 2008. "Low-Income Demand for Local Telephone Service: Effects of Lifeline and Linkup," Discussion Papers 07-032, Stanford Institute for Economic Policy Research.
    4. Nicholas Bloom & Renata Lemos & Raffaella Sadun & John Van Reenen, 2015. "Does Management Matter in schools?," Economic Journal, Royal Economic Society, vol. 0(584), pages 647-674, May.
    5. Biancini, Sara, 2011. "Behind the scenes of the telecommunications miracle: An empirical analysis of the Indian market," Telecommunications Policy, Elsevier, vol. 35(3), pages 238-249, April.
    6. Berg, Sanford V. & Jiang, Liangliang & Lin, Chen, 2011. "Incentives for cost shifting and misreporting: US rural universal service subsidies, 1991–2002," Information Economics and Policy, Elsevier, vol. 23(3), pages 287-295.
    7. Holt, Lynne & Galligan, Mary, 2013. "Mapping the field: Retrospective of the federal universal service programs," Telecommunications Policy, Elsevier, vol. 37(9), pages 773-793.
    8. Hauge, Janice A. & Jamison, Mark A. & Gentry, Richard J., 2008. "Bureaucrats as entrepreneurs: Do municipal telecommunications providers hinder private entrepreneurs," Information Economics and Policy, Elsevier, vol. 20(1), pages 89-102, March.
    9. Michael Thacker & Wesley Wilson, 2015. "Telephony choices and the evolution of cell phones," Journal of Regulatory Economics, Springer, vol. 48(1), pages 1-25, August.

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