Understanding European Union international message telephone services demand

Citation
G. Madden et al., Understanding European Union international message telephone services demand, INF ECON P, 13(2), 2001, pp. 127-136
Citations number
17
Categorie Soggetti
Economics
Journal title
INFORMATION ECONOMICS AND POLICY
ISSN journal
01676245 → ACNP
Volume
13
Issue
2
Year of publication
2001
Pages
127 - 136
Database
ISI
SICI code
0167-6245(200106)13:2<127:UEUIMT>2.0.ZU;2-L
Abstract
This study provides a contemporary understanding of demand relations in Eur opean Union (EU) international message telephone service (IMTS) markets pri or to full liberalization at January 1 1998. Point-to-point demand equation s that relate IMTS demand to prices, income, population and distance are es timated on bilateral market data for ten EU countries from 1990 to 1995. Mo del estimates suggest price elasticities of outgoing and incoming demand be tween - 0.175 and - 0.456, and - 0.215 and - 0.674, respectively. These ela sticity estimates provide an empirical base from which to calculate welfare gains from the full deregulation of EU IMTS markets after 1998. (C) 2001 E lsevier Science BN. All rights reserved.