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Universal service : Liberalization and privatization of telecommunications

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  • Hills, Jill

Abstract

Liberalization in the UK and the divestiture of AT&T in the USA ended the system of cross-subsidization historically associated with 'universal service'. This article discusses 'universal service', its past relationship with tariff policy and the impact of liberalization and privatization on its conceptualization. The original claims that liberalization and privatization would increase telephone penetration have not been borne out. Based on such experience, it seems unlikely that privatization policies will themselves extend 'universal service' to the majority population in Third-World countries in terms of penetration, usage or geographical equity. Indeed, where 'universal service' is the goal, the evidence suggests that committed government policy is essential.

Suggested Citation

  • Hills, Jill, 1989. "Universal service : Liberalization and privatization of telecommunications," Telecommunications Policy, Elsevier, vol. 13(2), pages 129-144, June.
    • Handle: RePEc:eee:telpol:v:13:y:1989:i:2:p:129-144
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    Cited by:

    1. Barros, Pedro P. & Seabra, M. Carmo, 1999. "Universal service: does competition help or hurt?," Information Economics and Policy, Elsevier, vol. 11(1), pages 45-60, March.
    2. Hulsink, W., 1994. "The single European telecoms market : From state monopolies & national champions to an oligopoly of Euro-nationals and global alliances?," WORC Paper 94.04.030/3, Tilburg University, Work and Organization Research Centre.

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