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The Impact of the Regulatory Process and Price Cap Regulation in Latin American Telecommunications Markets

Author

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  • Ros Agustin J.

    (NERA Economic Consultingm)

Abstract

I empirically examine the impact of the liberalization and regulatory process on the Latin American telecommunications sector during the period 1990-1998. I find that privatisation and the existence of an independent regulator are positively associated with teledensity and operating efficiency while competition and price cap regulation are strongly positively associated with teledensity. This study confirms results in previous research that identify the importance of an independent regulator, competition and privatisation. Moreover, this study provides an initial examination of the positive impact that price cap regulation has had on telecommunications market in Latin America.

Suggested Citation

  • Ros Agustin J., 2003. "The Impact of the Regulatory Process and Price Cap Regulation in Latin American Telecommunications Markets," Review of Network Economics, De Gruyter, vol. 2(3), pages 1-17, September.
    • Handle: RePEc:bpj:rneart:v:2:y:2003:i:3:n:4
    DOI: 10.2202/1446-9022.1029
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    Citations

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    Cited by:

    1. Gual Jordi & Trillas Francesc, 2006. "Telecommunications Policies: Measurement and Determinants," Review of Network Economics, De Gruyter, vol. 5(2), pages 1-24, June.
    2. Dewenter, Ralf & Kruse, Jörn, 2011. "Calling party pays or receiving party pays? The diffusion of mobile telephony with endogenous regulation," Information Economics and Policy, Elsevier, vol. 23(1), pages 107-117, March.
    3. Enzo Defilippi, 2013. "X-factor estimation and controversies : the case of Lima´s airport," Working Papers 13-09, Centro de Investigación, Universidad del Pacífico.
    4. Castaneda, Araceli & Phillips, Michele & Jamison, Mark, 2014. "Considerations for the Design and Transformation of Regulatory Systems," MPRA Paper 113243, University Library of Munich, Germany.
    5. Gasmi, Farid & Recuero Virto, Laura, 2010. "The determinants and impact of telecommunications reforms in developing countries," Journal of Development Economics, Elsevier, vol. 93(2), pages 275-286, November.
    6. Calzada, Joan & Diaz-Serrano, Luis, 2023. "Conflicting national policies: The creation of the euro and the rebalancing of telecommunications prices," Telecommunications Policy, Elsevier, vol. 47(1).
    7. Francesc Trillas & Miguel Angel Montoya, 2008. "The degree of commitment to regulator independence: measurement and impact," Hacienda Pública Española / Review of Public Economics, IEF, vol. 185(2), pages 89-114, July.
    8. EZZAT Riham Ahmed, 2015. "Paving the Way for Better Telecom Performance: Evidence from the Telecommunication Sector in MENA Countries," Review of Network Economics, De Gruyter, vol. 14(3), pages 157-199, September.
    9. Estache, Antonio & Goicoechea, Ana & Trujillo, Lourdes, 2009. "Utilities reforms and corruption in developing countries," Utilities Policy, Elsevier, vol. 17(2), pages 191-202, June.
    10. repec:gig:joupla:v:2:y:2010:i:1:p:3-30 is not listed on IDEAS
    11. Montoya, Miguel A. & Trillas, Francesc, 2007. "The measurement of the independence of telecommunications regulatory agencies in Latin America and the Caribbean," Utilities Policy, Elsevier, vol. 15(3), pages 182-190, September.
    12. Bastianin, Andrea & Castelnovo, Paolo & Florio, Massimo, 2018. "Evaluating regulatory reform of network industries: a survey of empirical models based on categorical proxies," Utilities Policy, Elsevier, vol. 55(C), pages 115-128.
    13. Jayakar, Krishna & Martin, Brandie, 2012. "Regulatory governance in African telecommunications: Testing the resource curse hypothesis," Telecommunications Policy, Elsevier, vol. 36(9), pages 691-703.
    14. Riham Ahmed Ezzat, 2015. "Paving the way for better telecom performance: Evidence from the telecommunication sector in MENA countries," Post-Print halshs-01164199, HAL.
    15. Karamti, Chiraz, 2019. "Lopsided effects of telecom reforms on mobile markets in the enlarged EU: Evidence from dynamic quantile model," Telecommunications Policy, Elsevier, vol. 43(3), pages 238-261.
    16. Riham Ahmed Ezzat, 2015. "Paving the way for better telecom performance: Evidence from the telecommunication sector in MENA countries," Documents de travail du Centre d'Economie de la Sorbonne 15039, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
    17. Li, Yan & Lyons, Bruce, 2012. "Market structure, regulation and the speed of mobile network penetration," International Journal of Industrial Organization, Elsevier, vol. 30(6), pages 697-707.
    18. Nagayama, Hiroaki, 2010. "Impacts on investments, and transmission/distribution loss through power sector reforms," Energy Policy, Elsevier, vol. 38(7), pages 3453-3467, July.
    19. Estache, Antonio & Goicoechea, Ana & Manacorda, Marco, 2006. "Telecommunications performance, reforms, and governance," Policy Research Working Paper Series 3822, The World Bank.
    20. Wendel, Julia, 2015. "Innovativeness of national regulatory authorities in EU telecommunications," 2015 Regional ITS Conference, Los Angeles 2015 146330, International Telecommunications Society (ITS).
    21. Gasmi, F. & Maingard, A. & Noumba, P. & Recuero Virto, L., 2013. "The Privatization of the Fixed-Line Telecommunications Operator in OECD, Latin America, Asia, and Africa: One Size Does Not Fit All," World Development, Elsevier, vol. 45(C), pages 189-208.
    22. Kang, Fei & Hauge, Janice A. & Lu, Ting-Jie, 2012. "Competition and mobile network investment in China’s telecommunications industry," Telecommunications Policy, Elsevier, vol. 36(10), pages 901-913.
    23. Martin, Brandie L. & Jayakar, Krishna, 2013. "Moving beyond dichotomy: Comparing composite telecommunications regulatory governance indices," Telecommunications Policy, Elsevier, vol. 37(9), pages 691-701.
    24. Antonio Estache & L. Wren-Lewis, 2008. "Towards a Theory of Regulation for Developing Countries: Following Laffont's Lead," Working Papers ECARES 2008_018, ULB -- Universite Libre de Bruxelles.
    25. Yan Li & Bruce Lyons, 2012. "Market Structure, Regulation and the Speed of Mobile Network Penetration," Working Paper series, University of East Anglia, Centre for Competition Policy (CCP) 2012-03, Centre for Competition Policy, University of East Anglia, Norwich, UK..

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