What is a good balance between competition and coordination in network industries? Network unbundling aims to promote competition, but this has to be balanced against the downside of unbundling: firm-internal coordination falls away and must be replaced by external market mechanisms. This is a...

This chapter is organized as follows: In section 2 the historical roots of third par-ty access regulation are characterized. This includes the Prussian railway law of 1838 and the terminal railroad case of 1912. In section 3 a normative frame-work, based on modern network economics, for the...