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In this paper, we study how access pricing affects network competition when subscription demand is elastic and each network uses non-linear prices and can apply termination-based price discrimination. In the case of a fixed per minute termination charge, we find that a reduction of the...
Persistent link: https://www.econbiz.de/10014046189
European and the US mobile communication services markets have developed in rather different ways. There are striking differences in termination regulation and retail pricing models and one may wonder why this occurred and whether either of the markets outperforms the other in terms of...
Persistent link: https://www.econbiz.de/10012972159
In this paper, we study how access pricing affects network competition when subscription demand is elastic and each network uses non-linear prices and can apply termination-based price discrimination. In the case of a fixed per minute termination charge, we find that a reduction of the...
Persistent link: https://www.econbiz.de/10013155784
We analyze how termination charges a ect retail prices when taking into account that receivers derive some utility from a call and when rms may charge consumers for receiving calls. A novel feature of our paper is that we consider passive self-ful lling expectations and do not allow for negative...
Persistent link: https://www.econbiz.de/10013069129
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We examine the effects of mobile termination rate regulation in asymmetric oligopolies. We do this by extending existing models of asymmetric duopoly and symmetric oligopoly where consumer expectations about market shares are passive. We first calibrate product differentiation parameters using...
Persistent link: https://www.econbiz.de/10013118918