Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/71972
Authors: 
Crawford, Gregory S.
Shum, Matthew
Year of Publication: 
2003
Series/Report no.: 
Working Papers, The Johns Hopkins University, Department of Economics 502
Abstract: 
Using an empirical framework derived from models of nonlinear pricing, we estimate the degree of quality degradation in cable television markets. We find lower bounds on quality degradation ranging from 11% to 45% of observed service qualities. Furthermore, cable operators in markets with local regulatory oversight tend to offer significantly higher quality products, and engage in less quality degradation. While prices are also higher in markets with local regulatory oversight, we find that consumers experienced greater quality per dollar in these markets compared to consumers in markets without regulatory oversight.
JEL: 
L12
L50
L43
D42
Document Type: 
Working Paper

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