Posted: 30 May 2003 Last revised: 22 May 2012
Date Written: May 21, 2012
We empirically estimate the substitutability of fixed and mobile services for telecommunications access using a large, U.S. household survey conducted over the period 2000-2001. Estimated cross-price elasticities confirm that second fixed line and mobile services are substitutes for one another. The extent of fixed-mobile substitution has important implications for policy toward fixed network unbundling, fixed-mobile vertical separation, and universal service.
Keywords: substitution, substitutability, telecommunications demand analysis, cellular telephone service
JEL Classification: D12, L96
Suggested Citation: Suggested Citation
Rodini, Mark and Ward, Michael R. and Woroch, Glenn A., Going Mobile: Substitutability between Fixed and Mobile Access (May 21, 2012). Telecommunications Policy, Volume 27, Issues 5–6, June–July 2003, Pages 457–476. Available at SSRN: https://ssrn.com/abstract=399460