search query: @author Acton, J. P. / total: 1
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| Author: | Acton, J. P. Vogelsang, I. |
| Title: | Telephone demand over the Atlantic: evidence from country-pair data |
| Journal: | Journal of Industrial Economics
1992 : SEP, VOL. 40:3, p.305-323 |
| Index terms: | TELEPHONE EQUIPMENT INDUSTRY DEMAND INTERNATIONAL TELECOMMUNICATION PRICES |
| Language: | eng |
| Abstract: | International calls include consumption and financial externalities. Theoretical analysis predicts that the volume of outbound and inbound calls is a function of originating-country price ("own-price") and terminating-country price ("cross-price"). Analysis of annual data for minutes of calling between the USA and l7 West European countries from 1979 to 1986 reveals negative own-price effects in both directions, with inbound calls more elastic. The findings are consistent with arbitrage and call-externality motivation that cancel each other. Level of GDP, number of telephones, and telex prices are statistically significant. |
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