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invest in Platform quality. We find that interconnection is aa means to reduce externalities one side exerts on the other. It … changes the mode of competition for subscribers and resultsin higher subscription prices. Further, even though interconnection … quality costs it will lead to asymmetric networks. Therefore, interconnection without coordinated investment activities is …
Persistent link: https://www.econbiz.de/10003797957
This paper examines how quality incentives are related to the interoperability of competing platforms. Platforms choose whether to operate standardised or exclusively, prior to quality and subsequent price competition. We find that platforms choose a common standard if they can coordinate their...
Persistent link: https://www.econbiz.de/10003848849
Three decade ago, federal policymakers - Republicans and Democrats - embarked on a general strategy of deregulation in the electricity, gas delivery, and telecommunications industries. The strategy called for restructuring to separate production from the transmission and distribution, followed...
Persistent link: https://www.econbiz.de/10014047844
Is monopoly the inevitable market outcome for a network industry without regulation? Policy related to network communications industries historically has been based on the assumption that the characteristics of these industries will lead to high concentration, and ultimately monopoly. However,...
Persistent link: https://www.econbiz.de/10014052649
This study develops a model of trade that highlights the effects of the interconnection of country …
Persistent link: https://www.econbiz.de/10014063206
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