|Title:||Estimating demand for cellular phone service under nonlinear pricing||Authors:||Huang, Ching I.||Keywords:||Cellular phone service | Optional rate plans | Structural estimation | Termination-based price discrimination | Three-part tariffs||Issue Date:||1-Aug-2008||Publisher:||SPRINGER||Journal Volume:||6||Journal Issue:||4||Start page/Pages:||371||Source:||Quantitative Marketing and Economics||Abstract:||
Cellular phone carriers typically offer complicated nonlinear tariffs. Consumers make a discrete choice among several rate plans. Each plan has a nonlinear price schedule, and price is usually lower for in-network calls. I present an empirical framework to estimate demand under such nonlinear pricing schemes by using parsimonious carrier-level data and apply the estimation method to analyze the market in Taiwan. I evaluate the impacts of termination-based pricing schemes on the market structure by counterfactual simulations. There is no evidence showing that the network effect resulting from termination-based pricing has significant effects on market structure. © Springer Science+Business Media, LLC 2008.
|Appears in Collections:||經濟學系|
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