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The growth of the Internet has constrained broadband networks, forcing service providers to search for solutions. We develop a dynamic model of daily usage during peak and non-peak periods, and estimate consumers' price and congestion sensitivity using high frequency usage data. Using the model...
Persistent link: https://www.econbiz.de/10012967850
We model mixed-bundle pricing by internet service providers (ISPs) to study their incentive to steer consumers across different subscription options and influence usage decisions. Using unique panel data from an ISP, we test predictions from the model. We find that the ISP’s introduction of...
Persistent link: https://www.econbiz.de/10014110680