Universal service obligations; compensation fund; market liberalization; cream-skimming
Abstract :
[en] In the postal sector, the financial burden of the universal service depends on its content, the postal market characteristics and the country’s geographical configuration. These three groups of factors affect both the direct cost of providing the service and the extent of competition on the market. In this paper, we consider countries with different geographical characteristics and we show that the choice of an appropriate mechanism to share the burden of universal service between market participants depends on the country configuration. Thus, for universal service financing, one size does not fit all.
Disciplines :
Microeconomics
Author, co-author :
Gautier, Axel ; Université de Liège - ULiège > HEC-Ecole de gestion : UER > Economie industrielle
Paolini, Dimitri
Language :
English
Title :
Universal Service Financing in Competitive Postal Markets: One Size Does Not Fit All
Publication date :
September 2011
Journal title :
Review of Network Economics
ISSN :
2194-5993
eISSN :
1446-9022
Publisher :
CRA International P/L
Special issue title :
Competition, Pricing and Universal Service in the Postal Sector
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