The calculation and application of composite telecommunications service price indexes

Article Abstract:

A study was undertaken to establish the relationship between price behavior and economic performance indicators of the telecommunications sector. The study, which was conducted in cooperation with the Pennsylvania Public Utilities Commission, established national- and state-specific price indexes. Regulators use price indexes to determine how a utility such as telecommunications can contribute to economic development and other social objectives. It was discovered that there were wide disparities between the national and Pennsylvania telecommunications price indexes.

Research, Price indexes

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Factor prices, factor substitution, and the relative demand for telecommunications across US industries

Article Abstract:

An analysis of factor demands and other factor inputs for telecommunication applications in US industries is presented. The analysis focuses on interrelationships between telecommunication derived demand and factor input demand. A model based on set of sectoral translog cost equations is applied. It is shown that nominal sectoral telecommunications cost shares do not exhibit a positive relation withwages.

Economic aspects, Telecommunications systems, Industry, Industries

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Pricing incentives under price-cap regulation

Article Abstract:

The weighted average of prices for multiple services for price-cap regulation plans must not go beyond a certain level. An analysis is done to show that the weighting scheme used is usually subjected to intertemporal manipulation. An alternative weighting scheme presented can be more effective in designing price-cap plans.

Analysis, Price control, Price regulations

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