tag:blogger.com,1999:blog-2830084253401570472.post6158894611169620107..comments2024-03-28T09:22:36.967+13:00Comments on Offsetting Behaviour: I, for one, welcome the Commerce Commission's protectionEric Cramptonhttp://www.blogger.com/profile/15831696523324469713noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-2830084253401570472.post-90572828382577518382009-11-10T09:57:24.302+13:002009-11-10T09:57:24.302+13:00Not to mention that introduction of this service w...Not to mention that introduction of this service would likely drive down prices and/or increase service for the inferior-subsitutes. For example : my 10MB Telstraclear cable connection, which hasn't changed much in price or service for about 3 years now...Jadehttps://www.blogger.com/profile/10517163803946638247noreply@blogger.comtag:blogger.com,1999:blog-2830084253401570472.post-87109324808928422642009-11-09T16:15:13.563+13:002009-11-09T16:15:13.563+13:00Jerry Hausman has argued that FCC dithering in the...Jerry Hausman has argued that FCC dithering in the 1970s delayed the arrival of mobile phones by 10 years into the US, and roughly estimated a cost of US$50 billion in lost consumer surplus (back when that was a lot of money). I don't know much about the Commission's thinking, or how much we should believe what Telecom says, but one would hope the Commission is explicitly considering whether their regulation is delaying the introduction of higher quality service, and not limiting their thinking to a few percentage points of price and and there. It's missing markets that drain surplus much more quickly than excess pricing. Unfortunately static welfare models do not capture quality.Matt Burgesshttps://www.blogger.com/profile/10256353079960538374noreply@blogger.com