Arbeitspapier
Network Competition with Income Effects
I generalize the workhorse model of network competition to include income effects in call demand. Empirical work has shown call demand to increase significantly with income. For any positive income effect, network operators prefer a termination rate above marginal cost if networks are sufficiently differentiated. This holds with or without call price discrimination. Under price discrimination, the networks charge a lower price for calls within the own network (on-net) than to other networks (off-net). Income effects thus deliver theoretical results consistent with stylized facts about call prices and in line with regulatory concern about excessive termination rates.
- Sprache
-
Englisch
- Erschienen in
-
Series: IFN Working Paper ; No. 903
- Klassifikation
-
Wirtschaft
Economics of Regulation
Telecommunications
- Thema
-
Income effects
Network competition
Termination-based price discrimination
Two-part tariffs
Profit neutrality
Termination rates
Mobiltelefon
Telekommunikationsnetz
Telekommunikationspreis
Netzregulierung
Regulierung
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Tangerås, Thomas
- Ereignis
-
Veröffentlichung
- (wer)
-
Research Institute of Industrial Economics (IFN)
- (wo)
-
Stockholm
- (wann)
-
2012
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:42 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Tangerås, Thomas
- Research Institute of Industrial Economics (IFN)
Entstanden
- 2012
Ähnliche Objekte (12)
International network competition
Bertrand competition in markets with network effects and switching costs
Bertrand competition in markets with network effects and switching costs
Price competition on network
Optimal income taxation with tax competition
Optimal Income Taxation under Monopolistic Competition
Public Provision and Local Income Tax Competition
Search costs and corporate income tax competition
Search costs and corporate income tax competition
Network competition in nonlinear pricing
Bertrand competition under network externalities
Bertrand competition under network externalities
International network competition
Bertrand competition in markets with network effects and switching costs
Bertrand competition in markets with network effects and switching costs
Price competition on network
Optimal income taxation with tax competition
Optimal Income Taxation under Monopolistic Competition
Public Provision and Local Income Tax Competition
Search costs and corporate income tax competition
Search costs and corporate income tax competition
Network competition in nonlinear pricing
Bertrand competition under network externalities
Bertrand competition under network externalities
International network competition
Bertrand competition in markets with network effects and switching costs
Bertrand competition in markets with network effects and switching costs
Price competition on network
Optimal income taxation with tax competition
Optimal Income Taxation under Monopolistic Competition
Public Provision and Local Income Tax Competition
Search costs and corporate income tax competition
Search costs and corporate income tax competition
Network competition in nonlinear pricing
Bertrand competition under network externalities