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Cross Subsidies in the Telephone Network after Divestiture

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  • Temin, Peter

Abstract

Those who do not understand history are condemned to repeat it. The current discussion of cross-subsidies by the RBOCs threaten to reiterate all of the confusions of pre-divestiture discussions of AT&T's presumed cross subsidies. More careful analysis of current conditions reveals that the RBOC's competitive activities are not being cross subsidized out of the local rate base. If they are being subsidized, the subsidies come from the IX carriers. Copyright 1990 by Kluwer Academic Publishers

Suggested Citation

  • Temin, Peter, 1990. "Cross Subsidies in the Telephone Network after Divestiture," Journal of Regulatory Economics, Springer, vol. 2(4), pages 349-362, December.
    • Handle: RePEc:kap:regeco:v:2:y:1990:i:4:p:349-62
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    Cited by:

    1. Stephen P. King, 1999. "Price Discrimination, Separation and Access: Protecting Competition or Protecting Competitors?," Australian Journal of Management, Australian School of Business, vol. 24(1), pages 21-35, June.
    2. Mark A. Jamison, 2011. "Liberalization and Regulation of Telecoms, Electricity, and Gas in the United States," Chapters, in: Matthias Finger & Rolf W. Künneke (ed.), International Handbook of Network Industries, chapter 21, Edward Elgar Publishing.
    3. Sumit K. Majumdar, 2011. "Cross Subsidization And Telecommunications Sector Wages," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 82(1), pages 1-24, March.
    4. Robert L. Lacy & John R. Walter, 2002. "What can price theory say about the Community Reinvestment Act?," Economic Quarterly, Federal Reserve Bank of Richmond, issue Spr, pages 1-27.
    5. Mark L. Burton & David L. Kaserman & John W. Mayo, 2009. "Common Costs And Cross‐Subsidies: Misestimation Versus Misallocation," Contemporary Economic Policy, Western Economic Association International, vol. 27(2), pages 193-199, April.
    6. Stephen P. King, 1997. "National Competition Policy," The Economic Record, The Economic Society of Australia, vol. 73(222), pages 270-284, September.
    7. Eriksson, Ross C & Kaserman, David L & Mayo, John W, 1998. "Targeted and Untargeted Subsidy Schemes: Evidence from Postdivestiture Efforts to Promote Universal Telephone Service," Journal of Law and Economics, University of Chicago Press, vol. 41(2), pages 477-502, October.

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