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Telecommunications regulation in New Zealand : The court of appeal's decision in Clear Communications v Telecom Corporation

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  • Blanchard, Carl

Abstract

In December 1992 the High Court of New Zealand ruled in favour of Telecom New Zealand's negotiating strategy with Clear Communications. This article reviews the Court of Appeal's judgment, a judgment which overturned the High Court's acceptance of Telecom's 'Baumol-Willig' pricing model. The Court dismissed the use of the model because it priced access at the opportunity cost of supply -- a price built on perfect market contestability and monopoly profits. This article reviews the judgment and its implications for telecommunications regulation in New Zealand.

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  • Blanchard, Carl, 1994. "Telecommunications regulation in New Zealand : The court of appeal's decision in Clear Communications v Telecom Corporation," Telecommunications Policy, Elsevier, vol. 18(9), pages 725-733, December.
    • Handle: RePEc:eee:telpol:v:18:y:1994:i:9:p:725-733
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    Cited by:

    1. Svetlana Avdasheva & Dina Tsytsulina, 2014. "Antimonopoly control of tariff regulation: objectives and drawbacks," Public administration issues, Higher School of Economics, issue 4, pages 27-46.

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