Opening Networks to Competition: The Regulation and Pricing of Access / Edition 1by David Gabel
This book addresses the related problems of regulating and pricing access in network industries. Interconnection between network suppliers raises questions of how to sustain competition and realize economic efficiency. New entrants must have access to customers in a competitive industry, but the very nature of network industries limits potential entrants. The large… See more details below
This book addresses the related problems of regulating and pricing access in network industries. Interconnection between network suppliers raises questions of how to sustain competition and realize economic efficiency. New entrants must have access to customers in a competitive industry, but the very nature of network industries limits potential entrants. The large fixed and sunk costs of constructing networks and the difficulty in acquiring the expertise and competencies embodied in the managerial and organizational structure of incumbents in the network industry make it difficult to enter this marketplace. As a result, new entrants, realizing that they may not be able to provide customers with service comparable to that of the incumbents, often look to negotiate an interconnection agreement.
This book is divided into two parts. Part I assesses regulation and pricing access in network industries from an analytical and policy perspective. Part II presents a variety of case studies examining interconnection issues over time and across industries. The book concludes with the idea that no single economic model or theory is appropriate for all network industries and that one needs to factor in the policy objectives, economic forces, and trade-offs for the specific industry before arriving at a final policy decision.
Table of Contents
1. Introduction; D. Gabel, D.F. Weiman. Part I: Networks and Access: Theoretical and Policy Perspectives. 2. One-Way Networks, Two-Way Networks, Compatibility, and Public Policy; N. Economides, L.J. White. 3. Markup Pricing for Interconnection: A Conceptual Framework; B.M. Mitchell, I. Vogelsang. 4. Problems in Creating Effective Competition; W.G. Shepherd. Part II: Case Studies. 5. Historical Perspectives on Competition and Interconnection Between Local Exchange Companies: The United States, 1894-1914; D. Gabel, D.F. Weiman. 6. On the Frontier of Deregulation: New Zealand Telecommunications and the Problem of Interconnecting Competing Networks; M. Mueller. 7. Competitive Access Policies in the Rail Freight Industry, with Comparisons to Telecommunications; C.M. Grimm, R.G. Harris. 8. Social Obligations and Access Pricing: Telecommunications and Railways in the UK; M. Armstrong, C. Doyle. 9. Access Demands and Network Joint Ventures; D.A. Balto. 10. Exclusionary Behavior in the Market for Operating System Software: The Case of Microsoft; G.A. Woroch, et al. Index.
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