Download or read book Effects of Incentive Regulation on the Exercise of Market Power in the U S Local Telephone Industry written by Hyun-Oh Yoo and published by . This book was released on 1999 with total page 170 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Adoption of Incentive Regulation Schemes and Its Impact on the U S Local Telecommunications Industry written by Shuo Zhuang and published by . This book was released on 1999 with total page 294 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Talk is Cheap written by Robert W. Crandall and published by Brookings Institution Press. This book was released on 2010-12-01 with total page 311 pages. Available in PDF, EPUB and Kindle. Book excerpt: The rapid pace of technological change is placing the world's telephone companies in a very difficult position. Fiber optics cables, wireless telephones, digital signal compression, and sophisticated new switching equipment are lowering the cost of providing service and opening the gates to new competition. At the same time, these new technologies are providing the telephone companies with a wide array of new market opportunities. Unfortunately, their status as regulated carriers makes it difficult to exploit these new opportunities and to fend off competitive assaults on their traditional telephone business. As long as they are regulated, they can be accused of using their monopoly services to cross-subsidize new competitive ventures. But partial deregulation and open entry would be a catastrophe for them unless they were allowed to revise their rate structure. There is a widespread misconception that the U.S. telecommunications industry has been "deregulated" and that Canadian authorities are following the U.S. lead. In fact, most services remain regulated, even though some markets, such as long-distance services, equipment sales and rentals, and local services, have been opened up. This book reviews the recent changes in the structure of U.S. and Canadian telecommunications industries and the changes in regulatory policy on both sides of the border. The authors analyze the effects of these changes in regulation on telephone rates in both the local and long-distance markets with particular emphasis on the impacts of regulatory reforms and competition on long-distance rates. They use their results to suggest how regulation should be structured to allow competition to replace monopoly on the road to the information superhighway. The authors contend that for decades misguided regulation of the telephone sector in both Canada and the U.S. denied consumers the benefits of competition, distorted local and long-distance telephone rates, and blocked en
Download or read book Incentive Regulation and Productive Efficiency in the U S Telecommunications Industry written by Sumit K. Majumdar and published by . This book was released on 1998 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study evaluates the effect of incentive regulation on the productivity of U.S. local exchange carriers between 1988 and 1993. Introducing pure price-cap schemes has a strong and positive, but lagged, effect on technical efficiency. Where price-cap schemes operate in conjunction with an earnings- sharing scheme, there is immediate effect on technical efficiency, but the impact is less strong than the effect of a pure price-caps scheme. Where only an earnings-sharing scheme operates, its effect is detrimental to technical efficiency. Weaker, though broadly positive, results are obtained as to the effect of incentive regulation on scale efficiency.
Download or read book Designing Incentive Regulation for the Telecommunications Industry written by David E. Sappington and published by American Enterprise Institute. This book was released on 1996 with total page 416 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book applies new advances in economic theory regarding the asymmetry of information between firms and their regulators to the design of improved telecommunications regulation.
Download or read book The Effect of Incentive Regulation on Infrastructure Modernization written by Shane M. Greenstein and published by . This book was released on 1995 with total page 98 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Economics of Telecommunications Systems written by Noel D. Uri and published by Nova Publishers. This book was released on 2004 with total page 234 pages. Available in PDF, EPUB and Kindle. Book excerpt: The process of formulating and implementing telecommunications policy in the United States often seems chaotic and disorganised, with overlapping responsibility and frequent conflicts among federal and state regulators, Congress, the Administration, and the Federal judiciary. There has never been a consensus on what should change and what should remain unaltered. Telecommunications policy has evolved gradually over a relatively long period of time, resulting in a cumulative major transformation. It is still tied, however, to the Communications Act of 1934. Actions have been taken that have gradually moved policy from traditional public utility regulation of a monopoly to greater reliance on market forces and encouragement of competition. The policies are an amalgam incorporating elements from a wide range of political and economic views. There is nothing endemic in this transformation process to guarantee that the resulting policies have led to greater economic efficiency or that they are better in some subjective sense than alternatives that are available. policies that have been implemented in order to evaluate their impact. An objective evaluation of the impact of a policy affords an opportunity to make adjustments to it based on the realised economic consequences. This approach to policy making can be looked upon as a learning-by-doing exercise. In this book a number of objective studies based on data from various telecommunications systems are presented. These studies discuss and evaluate policies that have been implemented. In a number of instances, the policies have been misguided. Recommendations to correct the most egregious problems are offered.
Download or read book The Performance of the State Telecommunications Industry Under Price cap Regulation written by Jaison R. Abel and published by . This book was released on 2000 with total page 96 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Competition and Techincal Change in the U S Telephone Industry written by Nakil Sung and published by Garland Science. This book was released on 2021-11-18 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt: First published in 1997. While local telephone companies still maintain their monopolistic position, rapid technological advance in telecommunications is destroying the established market structure in the local telephone industry. The U.S. Telecommunications Act of 1996 aimed at eliminating any legal barrier which has suppressed technically feasible local competition. This study attempts to provide pro-competitive evidence on the technological or cost structure of the U.S. local telephone industry. In particular, the study presents strong evidence against cost subadditivity of local telephone companies and shows that local telephone companies have been isolated from the disciplinary effects of competition in comparison with their competitive counterparts. The study not only has policy implications for entry and competition in local telephone markets, but also provides a new approach to the measurement of embodied technical change.
Download or read book Risk and Return for Regulated Industries written by Bente Villadsen and published by Academic Press. This book was released on 2017-04-27 with total page 362 pages. Available in PDF, EPUB and Kindle. Book excerpt: Risk and Return for Regulated Industries provides a much-needed, comprehensive review of how cost of capital risk arises and can be measured, how the special risks regulated industries face affect fair return, and the challenges that regulated industries are likely to face in the future. Rather than following the trend of broad industry introductions or textbook style reviews of utility finance, it covers the topics of most interest to regulators, regulated companies, regulatory lawyers, and rate-of-return analysts in all countries. Accordingly, the book also includes case studies about various countries and discussions of the lessons international regulatory procedures can offer. Presents a unified treatment of the regulatory principles and practices used to assess the required return on capital Addresses current practices before exploring the ways methods play out in practice, including irregularities, shortcomings, and concerns for the future Focuses on developed economies instead of providing a comprehensive global reviews Foreword by Stewart C. Myers
Download or read book Telecommunications Deregulation written by John R. Allison and published by Praeger. This book was released on 1990-12-11 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Since the breakup of AT&T in the early 1980s, many scholars and others have argued that telecommunications regulatory policy, especially at the state level, must change dramatically to fit new market conditions. To others, particularly state regulators, lawmakers, and smaller competitors, the proper response is one of slow, incremental change in regulatory policy. This volume explores these issues by using a unique multidisciplinary lens to focus on the problems of market power and cost allocation in long distance telecommunications markets. The contributors approach the subject from the traditional perspectives of economics and law but also incorporate developments in newer disciplines such as operations research, decision theory, policy analysis, and corporate strategy. Each section includes a series of main papers as well as critical reviews by scholars using methodologies from other disciplines. The result is an unusually comprehensive treatment of the complex regulatory issues facing the telecommunications industry today. The volume is divided into two primary sections which deal with market power and cost allocation in turn. The first part opens with a paper which examines market power from the perspective of legal analytics. Two economists then employ the methodologies of antitrust law and economics to survey the approaches of various states to the problem of identifying telecommunications market power. The third main paper in this section analyzes the market power concept from the particular economic perspective of contestable market theory. Turning to cost allocation issues, the contributors argue for the applicability to long distance markets of a new cost allocation methodology developed by NRRI for local exchange service. The topic is then approached by using a series of regulatory fables in which various possible incentive schemes are used to induce supposedly efficient behavior, with cost allocation as a resulting side issue. Each main paper is followed by one or more critical discussant papers. Finally, contributor Alfred Kahn draws on his long experience as a scholar and regulator to examine the current problems of telecommunications regulation in their historical context and to make some predictions about the future course of regulation in the industry. An important contribution to the business literature, this volume is a must acquisition for any library dealing with the telecommunication industry.
Download or read book Evolving Market Structure Conduct and Policy in Local Telecommunications written by Edwin Allen Rosenberg and published by . This book was released on 2000 with total page 92 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book regulation and productive efficiency evidence from the u s telecommunications industry written by sumit k. majumdar and published by . This book was released on 1995 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Impact of Changes in the Telecommunications Industry on Small Business written by United States. Congress. House. Committee on Small Business. Special Task Force on the Impact of Telephone Costs and published by . This book was released on 1984 with total page 496 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Set it and Forget It Market Power and the Consequences of Premature Deregulation in Telecommunications Markets written by George S. Ford and published by . This book was released on 2014 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Fifty years ago, U.S. Supreme Court Justice Felix Frankfurter warned the Federal Communications Commission not to view competition in an abstract, sterile way. To illustrate the dangers of using such an abstract approach to the key issue of ILEC market power, this paper uses the Commission's 1999 decision to de-regulate the prices for Special Access telecommunications services as a case study, wherein the Commission abandoned its own general framework for competition analysis in favor of using abstract notions of potential competition. As demonstrated herein, the Commission's deregulatory scheme for Special Access has produced substantial and sustained price increases for Special Access services where pricing flexibility is granted. Based on the results of an econometric model, these price increases are found to be the consequence of ILEC market power rather than price adjustments reflecting costs. The empirical model suggests that Special Access service is priced at about three times incremental cost, and this results is in line with other recent studies of market power in Special Access markets (e.g., Rappoport, Taylor et al., 2003), which find that the Bells receive a 40 percent return on Special Access revenues of $13.3 billion. This evidence suggests that while admittedly imperfect prognostications about competition and market power may be acceptable ex ante, continued agency review of incumbent market power is not only warranted, but virtually mandatory. Further, when abstract measures of competition are found, ex post, to be inadequate checks on market power such as in the case of Special Access services, the continued use of such abstractions by regulatory agencies should be immediately reviewed and potentially eliminated, particularly where such failure has a significant adverse impact on consumer welfare and a deleterious effect on U.S. telecoms competition and, by extension, the economy overall. The Commission's abstract approach to encouraging new entry and mitigating incumbent market power in the Special Access context should be a canary in the coal mine as to the consequences of using abstract notions of competition in the major rulemakings now pending before the Commission to facilitate Chairman Michael Powell's vision of a digital migration via so-called inter-modal competition. Indeed, as the D.C. Circuit recognized over twenty years ago: Complex regulation must still be credible regulation and any failure by the FCC to meaningfully enforce the Communications Act deprives regulated entities, their competitors [and] the public of rights and economic opportunities without the due process the Constitution requires. Viewing competition in an abstract way failed miserably for Special Access services and this fact cannot be ignored in future proceedings at the FCC. U.S. consumers deserve far more than a perfunctory Ron Popiel Chicken Rotisserie Oven - set it and forget it approach to the very real problem of ILEC market power, lest the negative effects of Special Access deregulation be replicated in other markets. While no doubt reducing its work load, the FCC simply cannot assume-away ILEC market power and, as Chairman Powell has recently attempted to do, eliminate it from the public lexicon altogether. Instead, responsible public policy requires the Commission to return the core unresolved issue of incumbent market power to center-stage and address it in an intellectually honest and definitive manner. As such, it is incumbent upon the FCC to fulfill their core function under the Communications Act - i.e., prevent dominant firms under their jurisdiction from gouging consumers and stymieing competition via the unfettered abuse of their market power. Equally as important, if the evidence suggests a regulatory failure to mitigate the incumbents' market power that produces clear adverse effects on U.S. consumer welfare and the economy, then we come back full circle regarding the FCC's overall analytical approach of how we should move from one to many - i.e., given the obvious fact that the ILEC's can and will seek to exercise their market power to deny, delay and degrade new entry, then a more thorough look at the incumbents' market power by the Commission in the first instance is in order as the FCC attempts to facilitate Chairman Powell's vision of a Digital Migration.
Download or read book The Effects of Regulation on the Diffusion of Technological Innovation in the Local Telephone Industry in the United States written by Linda M. Chappell and published by . This book was released on 1998 with total page 370 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book FCC Telephone Price Caps written by United States. Congress. House. Committee on Energy and Commerce. Subcommittee on Telecommunications and Finance and published by . This book was released on 1989 with total page 72 pages. Available in PDF, EPUB and Kindle. Book excerpt:
