Monopolistic settlement agreements in international telecommunications

Article Abstract:

Bilateral agreements between monopolistic carriers are commonplace in the international telecommunications market. Telecommunication traffic imbalances have been linked to accounting revenue, but share allocation is also useful in optimizing prices, and distortions in terms of costs and prices can be reduced by optimal settlements. The international telecommunications market can be analyzed as an example of duopoly in a Bertrand model. A share allocation of 50:50, as currently occurs, boosts collection rates if accounting rates are elevated.

Duopolies

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Option value, telecommunications demand, and policy

Article Abstract:

Option value analysis has been used to calculate demand for telecommunication services, as an alternative method to welfare analysis, and the results suggest that policymakers should be wary of using consumer's surplus to estimate demand. The two stage subsription method uses ex post usage to assess consumer's surplus, and this traditional method does not take into account option values. If option values are ignored, a market failure may result.

Case studies, Supply and demand, Options (Finance), Cost benefit analysis, Telecommunications traffic, Communications traffic

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Segmented regulation in global oligopolies: industry configuration and welfare effects

Article Abstract:

Inefficiencies may result from local decisions of national legislators of regulated industries such as telecommunications. These may have been due to differences in local and international cost-benefit analyses. Sequential game among national regulators anticipating strategies of firms also result in the configuration of international industries.

Telecommunications, Telephone Communication, Telecommunications industry, International trade, Product differentiation

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