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Estimating demand elasticities of fixed telephony in Brazil

Author

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  • Gustavo, Manfrim
  • Sergio, Da Silva

Abstract

This paper provides estimates of the elasticities of demand for the Brazilian basic plan of local fixed telephony using a cointegration model. We find a long-run price elasticity of –0.24, and an income elasticity of 0.18. These figures are line with other countries’ estimates.

Suggested Citation

  • Gustavo, Manfrim & Sergio, Da Silva, 2006. "Estimating demand elasticities of fixed telephony in Brazil," MPRA Paper 1978, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:1978
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    References listed on IDEAS

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    Cited by:

    1. Ralf Dewenter & Justus Haucap, 2007. "Demand Elasticities for Mobile Telecommunications in Austria," Ruhr Economic Papers 0017, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
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    3. Dewenter Ralf & Haucap Justus, 2008. "Demand Elasticities for Mobile Telecommunications in Austria," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 228(1), pages 49-63, February.

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    More about this item

    Keywords

    Fixed telephony; Demand elasticities; Cointegration;
    All these keywords.

    JEL classification:

    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • L5 - Industrial Organization - - Regulation and Industrial Policy

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