Huang, Ching I.Ching I.Huang2019-10-092019-10-092008-08-0115707156https://scholars.lib.ntu.edu.tw/handle/123456789/426489Cellular 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.Cellular phone service | Optional rate plans | Structural estimation | Termination-based price discrimination | Three-part tariffs10.1007/s11129-008-9040-1https://api.elsevier.com/content/abstract/scopus_id/531491028092-s2.0-53149102809WOS:000260098700003https://api.elsevier.com/content/abstract/scopus_id/53149102809