[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/rza/wpaper/791.html
   My bibliography  Save this paper

Benefits of regulation vs competition where inequality is high: The case of mobile telephony in South Africa

Author

Listed:
  • Lukasz Grzybowski
  • Ryan Hawthrone
Abstract
We test for the distributional effects of regulation and entry in the mobile telecommunications sector in a highly unequal country, South Africa. Using six waves of a consumer survey of over 134,000 individuals between 2009-2014, we estimate a discrete-choice model allowing for individual-specific price-responsiveness and preferences for network operators. Next, we use a demand and […]

Suggested Citation

  • Lukasz Grzybowski & Ryan Hawthrone, 2019. "Benefits of regulation vs competition where inequality is high: The case of mobile telephony in South Africa," Working Papers 791, Economic Research Southern Africa.
    • Handle: RePEc:rza:wpaper:791
    as

    Download full text from publisher

    File URL: https://econrsa.org/wp-content/uploads/2022/06/working_paper_791.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Nicholas Economides & Katja Seim & V. Brian Viard, 2008. "Quantifying the benefits of entry into local phone service," RAND Journal of Economics, RAND Corporation, vol. 39(3), pages 699-730, September.
    2. Ambre Nicolle & Lukasz Grzybowski & Christine Zulehner, 2018. "Impact Of Competition, Investment, And Regulation On Prices Of Mobile Services: Evidence From France," Economic Inquiry, Western Economic Association International, vol. 56(2), pages 1322-1345, April.
    3. Onkokame Mothobi, 2017. "The Impact of Telecommunication Regulatory Policy on Mobile Retail Price in Sub-Saharan African Countries," Working Papers 662, Economic Research Southern Africa.
    4. Megumi Muto, 2012. "The Impacts of Mobile Phones and Personal Networks on Rural-to-Urban Migration: Evidence from Uganda," Journal of African Economies, Centre for the Study of African Economies, vol. 21(5), pages -807, November.
    5. Klonner, Stefan & Nolen, Patrick J., 2010. "Cell Phones and Rural Labor Markets: Evidence from South Africa," Proceedings of the German Development Economics Conference, Hannover 2010 56, Verein für Socialpolitik, Research Committee Development Economics.
    6. Christos Genakos & Tommaso Valletti & Frank Verboven, 2018. "Evaluating market consolidation in mobile communications," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 33(93), pages 45-100.
    7. Pereira, Pedro & Ribeiro, Tiago, 2011. "The impact on broadband access to the Internet of the dual ownership of telephone and cable networks," International Journal of Industrial Organization, Elsevier, vol. 29(2), pages 283-293, March.
    8. Kenneth E. Train & Daniel L. McFadden & Moshe Ben-Akiva, 1987. "The Demand for Local Telephone Service: A Fully Discrete Model of Residential Calling Patterns and Service Choices," RAND Journal of Economics, The RAND Corporation, vol. 18(1), pages 109-123, Spring.
    9. Muto, Megumi & Yamano, Takashi, 2009. "The Impact of Mobile Phone Coverage Expansion on Market Participation: Panel Data Evidence from Uganda," World Development, Elsevier, vol. 37(12), pages 1887-1896, December.
    10. Hawthorne, Ryan, 2018. "The effects of lower mobile termination rates in South Africa," Telecommunications Policy, Elsevier, vol. 42(5), pages 374-385.
    11. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, September.
    12. Argent,Jonathan Thompson & Begazo Gomez,Tania Priscilla, 2015. "Competition in Kenyan markets and its impact on income and poverty : a case study on sugar and maize," Policy Research Working Paper Series 7179, The World Bank.
    13. Christos Genakos & Tommaso Valletti, 2015. "Evaluating a Decade of Mobile Termination Rate Regulation," Economic Journal, Royal Economic Society, vol. 125(586), pages 31-48, August.
    14. Jenny C. Aker, 2010. "Information from Markets Near and Far: Mobile Phones and Agricultural Markets in Niger," American Economic Journal: Applied Economics, American Economic Association, vol. 2(3), pages 46-59, July.
    15. Robert Jensen, 2007. "The Digital Provide: Information (Technology), Market Performance, and Welfare in the South Indian Fisheries Sector," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(3), pages 879-924.
    16. Maude Hasbi & Julienne Liang & Ambre Nicolle & Lukasz Grzybowski & Christine Zulehner, 2018. "Impact Of Competition, Investment, And Regulation On Prices Of Mobile Services: Evidence From France," Post-Print hal-02306679, HAL.
    17. Murray Leibbrandt & Ingrid Woolard & Arden Finn & Jonathan Argent, 2010. "Trends in South African Income Distribution and Poverty since the Fall of Apartheid," OECD Social, Employment and Migration Working Papers 101, OECD Publishing.
    18. Grzybowski, Lukasz & Nitsche, Rainer & Verboven, Frank & Wiethaus, Lars, 2014. "Market definition for broadband internet in Slovakia – Are fixed and mobile technologies in the same market?," Information Economics and Policy, Elsevier, vol. 28(C), pages 39-56.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adams, Samuel & Akobeng, Eric, 2021. "ICT, governance and inequality in Africa," Telecommunications Policy, Elsevier, vol. 45(10).
    2. Somosi, Agnes & Stiassny, Alfred & Kolos, Krisztina & Warlop, Luk, 2021. "Customer defection due to service elimination and post-elimination customer behavior: An empirical investigation in telecommunications," International Journal of Research in Marketing, Elsevier, vol. 38(4), pages 915-934.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hawthorne, Ryan & Grzybowski, Lukasz, 2021. "Distribution of the benefits of regulation vs. competition: The case of mobile telephony in South Africa," International Journal of Industrial Organization, Elsevier, vol. 74(C).
    2. Verboven, Frank & Bourreau, Marc & Sun, Yutec, 2018. "Market Entry, Fighting Brands and Tacit Collusion: The Case of the French Mobile Telecommunications Market," CEPR Discussion Papers 12866, C.E.P.R. Discussion Papers.
    3. Grzybowski, Lukasz & Liang, Julienne, 2014. "Estimating demand for quadruple-play tariffs: The impact on consumer surplus," 25th European Regional ITS Conference, Brussels 2014 101375, International Telecommunications Society (ITS).
    4. Kyeong Ho Lee & Marc F. Bellemare, 2013. "Look Who's Talking: The Impacts of the Intrahousehold Allocation of Mobile Phones on Agricultural Prices," Journal of Development Studies, Taylor & Francis Journals, vol. 49(5), pages 624-640, May.
    5. Eduardo Nakasone & Maximo Torero, 2016. "A text message away: ICTs as a tool to improve food security," Agricultural Economics, International Association of Agricultural Economists, vol. 47(S1), pages 49-59, November.
    6. Wellmann, Nicolas, 2019. "Hello . . . Are You Still There? An Empirical Analysis How Market Structure Affects Quality of Mobile Networks," VfS Annual Conference 2019 (Leipzig): 30 Years after the Fall of the Berlin Wall - Democracy and Market Economy 203579, Verein für Socialpolitik / German Economic Association.
    7. Mothobi, Onkokame & Grzybowski, Lukasz, 2017. "Infrastructure deficiencies and adoption of mobile money in Sub-Saharan Africa," Information Economics and Policy, Elsevier, vol. 40(C), pages 71-79.
    8. Jung, Suhyun & Rogers, Martha, 2024. "Mobile phone adoption, deforestation, and agricultural land use in Uganda," World Development, Elsevier, vol. 179(C).
    9. Ryan Hawthorne & Lukasz Grzybowski, 2019. "Narrowing the 'Digital Divide': The Role of Complementarities Between Fixed and Mobile Data in South Africa," CESifo Working Paper Series 7711, CESifo.
    10. Malm, Meagan K. & Toyama, Kentaro, 2021. "The burdens and the benefits: Socio-economic impacts of mobile phone ownership in Tanzania," World Development Perspectives, Elsevier, vol. 21(C).
    11. Muñoz-Acevedo, Ángela & Grzybowski, Lukasz, 2023. "Impact of roaming regulation on revenues and prices of mobile operators in the EU," International Journal of Industrial Organization, Elsevier, vol. 89(C).
    12. Aimable Nsabimana & Patricia Funjika, 2019. "Mobile phone use, productivity and labour market in Tanzania," WIDER Working Paper Series wp-2019-71, World Institute for Development Economic Research (UNU-WIDER).
    13. Sekabira, Haruna & Qaim, Matin, 2017. "Can mobile phones improve gender equality and nutrition? Panel data evidence from farm households in Uganda," Food Policy, Elsevier, vol. 73(C), pages 95-103.
    14. Wouter Zant, 2012. "How does Market Access affect Smallholder Behavior? The Case of Tobacco Marketing in Malawi," Tinbergen Institute Discussion Papers 12-088/V, Tinbergen Institute, revised 25 Aug 2014.
    15. Wouter Zant, 2018. "Trains, Trade, and Transaction Costs: How Does Domestic Trade by Rail Affect Market Prices of Malawi Agricultural Commodities?," The World Bank Economic Review, World Bank, vol. 32(2), pages 334-356.
    16. Wouter Zant, 2017. "Impact of Mobile Phones on Staple Food Markets in Mozambique: Improved Arbitrage or Increased Rent Extraction?," Tinbergen Institute Discussion Papers 17-021/V, Tinbergen Institute, revised 26 Jan 2018.
    17. Abate, Gashaw T. & Bernard, Tanguy, 2017. "Farmers’ quality assessment of their crops and its impact on commercialization behavior: A field experiment in Ethiopia," IFPRI discussion papers 1624, International Food Policy Research Institute (IFPRI).
    18. Bertschek, Irene & Briglauer, Wolfgang & Hüschelrath, Kai & Kauf, Benedikt & Niebel, Thomas, 2016. "The economic impacts of telecommunications networks and broadband internet: A survey," ZEW Discussion Papers 16-056, ZEW - Leibniz Centre for European Economic Research.
    19. Dammert, Ana C. & Galdo, Jose C. & Galdo, Virgilio, 2014. "Preventing dengue through mobile phones: Evidence from a field experiment in Peru," Journal of Health Economics, Elsevier, vol. 35(C), pages 147-161.
    20. Hailemariam Ayalew & Dagim G. Belay, 2020. "The Ethiopian Commodity Exchange and Spatial Price Dispersion: Disentangling Warehouse and Price Information effects," IFRO Working Paper 2020/01, University of Copenhagen, Department of Food and Resource Economics.

    More about this item

    Keywords

    Competition; Consumer Behavior; inequality; Market Structure; Telecommunications;
    All these keywords.

    JEL classification:

    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rza:wpaper:791. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Maggi Sigg (email available below). General contact details of provider: https://edirc.repec.org/data/ersacza.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.