Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/94352
Authors: 
Briglauer, Wolfgang
Holzleitner, Christian
Year of Publication: 
2014
Series/Report no.: 
ZEW Discussion Papers 14-022
Abstract: 
Although the future socio-economic benefits of a new fibre-based ('next generation access', NGA) telecommunications infrastructure seem to be uncontroversial, a universal NGA coverage appears to be a rather unrealistic objective without government intervention. We contend, however, that the current contract practice of fixing ex ante targets for network expansion is inefficient given the uncertainty about future returns on NGA infrastructure-based services and the public authorities' incomplete information about the capital costs of the network provider. This paper puts forward to delegate the choice of the network expansion to the NGA provider.
Subjects: 
contract theory
public utilities
next generation telecommunications networks
subsidies
JEL: 
H20
L43
L44
L51
L52
L96
Document Type: 
Working Paper

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