Deutsche Telekom and Pacific Bell v. Linkline: Does Competition Law Have a Place in Regulated Industries?

REGULATING TECHNOLOGICAL INNOVATION, A MULTIDISCIPLINARY APPROACH, M.A. Heldeweg and E. Kica, eds., London: Palgrave

14 Pages Posted: 9 Jun 2011 Last revised: 18 Jan 2014

Martin Holterman

European University Institute - Florence School of Regulation

Date Written: May 31, 2011

Abstract

This paper provides a positive and normative discussion of the role of competition law – and competition authorities – in fostering or hampering innovation in regulated industries, specifically the telecommunications industry. I combine an analysis of recent EU and American case law with a simple economic model of multi-agency regulation and its effects on innovation, as well as a discussion of the intentions of lawmakers when the current European regulatory system was last redesigned in 2002. While ideally the choices of lawmakers should reflect careful attention to the consequences of their decisions for innovation, the 2002 EU Telecommunications package appears to be highly problematic, in that it seems to give competition law a much greater role than my model would suggest is wise.

Keywords: Telecommunications, Regulation, Competition Law, EU Law

JEL Classification: D72, K42, L43, L51

Suggested Citation

Holterman, Martin, Deutsche Telekom and Pacific Bell v. Linkline: Does Competition Law Have a Place in Regulated Industries? (May 31, 2011). REGULATING TECHNOLOGICAL INNOVATION, A MULTIDISCIPLINARY APPROACH, M.A. Heldeweg and E. Kica, eds., London: Palgrave. Available at SSRN: https://ssrn.com/abstract=1860167 or http://dx.doi.org/10.2139/ssrn.1860167

Martin Holterman (Contact Author)

European University Institute - Florence School of Regulation ( email )

Florence
Italy

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