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Path and speed of spectrum management reform under uncertain costs and benefits

Author

Listed:
  • José Marino García-García

    (Complutense Institute for International Studies (UCM) and Ministry of Energy, Tourism and the Digital Agenda.)

  • Aurelia Valiño Castro

    (Complutense University of Madrid.)

  • Antonio Jesús Sánchez Fuentes

    (Complutense Institute for International Studies (UCM) and GEN(Governance and Economics research Network).)

Abstract

The unsolved question in spectrum management is no longer if a reform is necessary to enable higher market participation but the optimal path and speed of reform. We offer an expression to determine when to choose a gradual or big bang reform depending on current and expected technology and an expression to determine whether to wait or not for new technology. Gradual is better if the technological advance coefficient is high, the reversibility of the reforms is costly, the duration of the second reform is long, the probability of an outcome lower than expected is considerable or the reforms are not too complementary.

Suggested Citation

  • José Marino García-García & Aurelia Valiño Castro & Antonio Jesús Sánchez Fuentes, 2018. "Path and speed of spectrum management reform under uncertain costs and benefits," Working Papers del Instituto Complutense de Estudios Internacionales 1802, Universidad Complutense de Madrid, Instituto Complutense de Estudios Internacionales.
    • Handle: RePEc:ucm:wpaper:1802
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    More about this item

    Keywords

    Radio-electric spectrum; Efficiency; Externalities; Technological change.;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • D62 - Microeconomics - - Welfare Economics - - - Externalities

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