In the past decades, several countries have introduced reverse auctions for allocating universal service or public mission subsidies in various industries. Examples include urban transport, air transport and telecommunications. Recently, such mechanisms have also been envisioned in liberalized...

We analyze whether it makes sense to auction off Universal Service Obligations in postal markets. Based on auction theory, case studies and sector-specific considerations we conclude that auctions will be difficult to implement in the postal sector.

Universal service providers (USP) are increasingly active in business segments other than the segment consisting of their Universal Service Obligation (USO). Price regulation of USO services is usually cost-oriented and differentiated between USO- and non-USO-products. Hence, regulatory rules on...

In 2013, the U.S. Postal Service (USPS) announced plans to discontinue the delivery of letters and flats on Saturdays, while continuing parcels delivery. The paper analyses the financial effects of the plan based on a bottom-up delivery model.

This paper analyzes the market regulations and USO as defined in the Swiss Postal Act and their interaction with competition law. Specifically, the paper covers the following aspects of the regulatory framework for the postal sector in Switzerland: First, the scope of the USO, consisting of...

Was ist zu tun, damit der Service public auch in 10 Jahren noch ein Erfolgsmodell sein wird? Der Beitrag versucht diese Frage aus ökonomischer Sicht für die Sektoren Post, Telekommunikation, Medien (Radio/TV), Bahn und Strom zu beantworten.

The financing of the Universal Service Obligation (USO) in network industries has traditionally relied on granting the provider exclusive rights. Full liberalization has created the need for alternative funding mechanisms. This has increased the interest of regulators and the public in...

The financing of universal service in network industries has traditionally relied on granting the universal service provider (USP) a reserved area. Liberalization policies promoting competitive entry put the traditional universal service at risk. Consequently, there is an increased interest in...

Network industries are traditionally strongly influenced by sector-specific regulation; especially universal service obligations (USO) play an important role. In these sectors, USO impact market forces by shaping competition asymmetrically. They also interfere with other regulations such as...

This paper analyzes the net cost of universal service obligations in the postal sector after full liberalization and the potential burden they represent for the universal service provider. It considers various interpretations of what an ‚unfair burden. might be and discusses the competitive...