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Economic Comments on the Design of the 700 MHz Spectrum Auction

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Abstract

We comment on the service and auction rules discussed in the Report and Order and Further Notice of Proposed Rule Making, FCC 07-72, 27 April 2007. We recommend that the FCC designate one license for a wholesale operation that provides open access nationwide on nondiscriminatory terms. This is necessary to enable entry of new businesses offering wireless services in retail markets. It also enables local operators to offer roaming at competitive prices. The new license accords with the Commission’s policy to encourage competition, and recognizes the benefits to consumers from low prices and expanded services.

Suggested Citation

  • Peter Cramton & Andrzej Skrzypacz & Robert Wilson, 2007. "Economic Comments on the Design of the 700 MHz Spectrum Auction," Papers of Peter Cramton 07d700mhz, University of Maryland, Department of Economics - Peter Cramton, revised 2007.
    • Handle: RePEc:pcc:pccumd:07d700mhz
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    File URL: https://www.cramton.umd.edu/papers2005-2009/cramton-skrzypacz-wilson-700mhz-auction-design-us-senate.pdf
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    More about this item

    Keywords

    Auctions; spectrum auctions; market design;
    All these keywords.

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

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