The Bell Operating Companies (quot;BOCsquot;) argue that Total Element Long Run Incremental Cost (TELRIC) prices set by State public service commissions have no nexus to the BOCs' actual forward-looking costs but are, instead, based on retail prices with the goal of ensuring that competitors...

Recent reports by financial analysts on the financial consequences of UNE-P sales for Bell Operating Companies have drawn additional attention to long-standing complaints by the BOCs that such sales are confiscatory and amount to quot;subsidized competition.quot; This Policy Paper subjects the...

This Paper discusses important economic characteristics of local exchange markets and the firms that participate therein. First, this Paper explains that entry into the local exchange market requires large fixed and sunk costs, making entry risky and necessitating scale economies. Consequently,...

This Policy Paper discusses important economic characteristics of local exchange markets and the firms that participate therein. First, this Policy Paper, building on the work in PHOENIX CENTER POLICY PAPER NO. 10, explains that entry into the local exchange market requires large fixed and sunk...

This POLICY PAPER presents an economic model showing how incumbent local exchange carriers may deter efficient facilities-based entry for high capacity loop facilities through the use of quantity-discount contracts for Special Access services. Since efficient entry is deterred, these contracts...

Countries around the world are increasingly concerned as to whether the adoption of broadband technology by their respective citizens is sufficient to support economic growth and social development. Unfortunately, such concerns are often expressed in terms of where a country ranks among its...

In this article, we provide a focused economic analysis of the welfare effect of state and local regulation on communications services and, in particular, on the wireless segment of the telecommunications industry. We find that when local regulation in one jurisdiction has sufficiently large...

In this paper, we attempt to shed light on an important policy question: Does the current way by which providers compensate each other for the exchange of voice over Internet Protocol (VoIP), wireless, local, and long distance calls inhibit broadband deployment? This question is timely, as the...

Over the past twenty years we have seen the emergence of an important phenomenon in the practice of modern regulation — cooperative bargaining between the regulator and the regulated over a “bundle” of seemingly unrelated issues. Because of the multiplicity of issues being adjudicated...

Countries around the world are increasingly concerned as to whether the adoption of broadband technology by their respective citizens is sufficient to support economic growth and social development. Unfortunately, such concerns are often expressed in terms of where a country ranks among its...