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Telecommunications reform in developing countries after the WTO agreement on basic telecommunications services

Author

Listed:
  • Peter Cowhey

    (Graduate School of International Relations and Pacific Studies, University of California, San Diego, La Jolla, USA)

  • Mikhail M. Klimenko

    (Graduate School of International Relations and Pacific Studies, University of California, San Diego, La Jolla, USA)

Abstract

This paper studies the main consequences and lessons of the WTO Agreement on Basic Telecommunications Services for economic reforms in developing countries. Our analysis emphasizes that the Agreement changed market and policy expectations about the supply, pricing, and demand growth of communications services. We show that WTO-enforced regulatory code in telecommunications (the 'Reference Paper') has considerably lowered the risks for domestic and foreign investors. One of the main conclusions of the paper is that an enforceable regulatory code can be an important tool for developing countries when reconciling the needs for policy consistency and flexibility during the introduction of competition in telecommunications. Copyright © 2000 John Wiley & Sons, Ltd.

Suggested Citation

  • Peter Cowhey & Mikhail M. Klimenko, 2000. "Telecommunications reform in developing countries after the WTO agreement on basic telecommunications services," Journal of International Development, John Wiley & Sons, Ltd., vol. 12(2), pages 265-281.
  • Handle: RePEc:wly:jintdv:v:12:y:2000:i:2:p:265-281
    DOI: 10.1002/(SICI)1099-1328(200003)12:2<265::AID-JID662>3.0.CO;2-7
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    References listed on IDEAS

    as
    1. Brennan, Timothy J & Boyd, James, 1997. "Stranded Costs, Takings, and the Law and Economics of Implicit Constracts," Journal of Regulatory Economics, Springer, vol. 11(1), pages 41-54, January.
    2. Giovanni Maggi & Andres Rodriguez-Clare, 1998. "The Value of Trade Agreements in the Presence of Political Pressures," Journal of Political Economy, University of Chicago Press, vol. 106(3), pages 574-601, June.
    3. Levy, Brian & Spiller, Pablo T, 1994. "The Institutional Foundations of Regulatory Commitment: A Comparative Analysis of Telecommunications Regulation," Journal of Law, Economics, and Organization, Oxford University Press, vol. 10(2), pages 201-246, October.
    4. Kyle Bagwell & Robert W. Staiger, 2001. "Domestic Policies, National Sovereignty, and International Economic Institutions," The Quarterly Journal of Economics, Oxford University Press, vol. 116(2), pages 519-562.
    5. Grossman, Gene M & Helpman, Elhanan, 1994. "Protection for Sale," American Economic Review, American Economic Association, vol. 84(4), pages 833-850, September.
    6. Cowhey, Peter & Klimenko, Mikhail M., 2001. "The WTO agreement and telecommunications policy reform," Policy Research Working Paper Series 2601, The World Bank.
    7. Madden, Gary & Savage, Scott J., 1998. "CEE telecommunications investment and economic growth," Information Economics and Policy, Elsevier, vol. 10(2), pages 173-195, June.
    8. Janusz A. Ordover & Russell W. Pittman & Paul Clyde, 1994. "Competition policy for natural monopolies in a developing market economy 1," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 2(3), pages 317-343, September.
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    Cited by:

    1. Cowhey, Peter F. & Richards, John E., 2002. "Deregulating and liberalizing the North-American telecommunications market : explaining the US-approach," HWWA Discussion Papers 164, Hamburg Institute of International Economics (HWWA).
    2. Carlo Maria Rossotto & Khalid Sekkat & Aristomene Varoudakis, 2005. "Opening up telecommunications to competition and MENA integration in the world economy," Journal of International Development, John Wiley & Sons, Ltd., vol. 17(7), pages 931-955.

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