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Title:The role of product innovation on the diffusion of mobile telephony PDF Logo
Authors:Koski, Heli
Kretschmer, Tobias
Issue Date:2009
Series/Report no.:ETLA Discussion Papers, The Research Institute of the Finnish Economy (ETLA) 1200
Abstract:Most existing empirical work on technology diffusion assumes technologies to remain constant throughout the diffusion process. However, many consumer technologies improve significantly over time. Using data on the characteristics of new mobile handsets over a ten-year period and controlling for potential endogeneity problems, we find that handset quality and variety had a significant impact on the global diffusion of mobile telephony. Our estimation results further suggest that earlier empirical studies on diffusion may have attributed too much of diffusion to network effects.
Subjects:Product innovation
Technology Diffusion
Mobile Telephony
JEL:L96
O33
Document Type:Working Paper
Appears in Collections:ETLA Discussion Papers, Research Institute of the Finnish Economy (ETLA)

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