Telecommunications Pricing Theory and Practice [Paperback]

The past decade has seen a surge of pricing innovations in the U.S. telecommunications industry. This book systematically reviews recent pricing innovations in the economic theory of pricing, extending results to the conditions that characterize telecommunications markets.The past decade has seen a surge of pricing innovations in the U.S. telecommunications industry. This book systematically reviews recent pricing innovations in the economic theory of pricing, extending results to the conditions that characterize telecommunications markets.The past decade has seen a surge of pricing innovations in the U.S. telecommunications industry. This book systematically reviews recent innovations in the economic theory of pricing and extends results to the conditions that characterize telecommunications markets. The authors develop and illuminate the normative theory of pricing--with its objectives of social welfare, economic efficiency and fairness--and compare it with the practice of business and regulators.List of figures; List of tables; Acknowledgments; Part I. Pricing and Telecommunications: 1. Introduction; 2. Telecommunications production, costs, and pricing; Part II. Recent Development in the Normative Economic Theory of Tariffs: 3. Types of tariffs; 4. Linear tariffs; 5. Nonlinear tariffs; 6. Cost-based tariffs; Part III. Telephone rate Structures in the United States: 7. Regulation and US retail rates; 8. Optional calling plans; 9. Business bulk-rate tariffs; 10. Pricing of carrier services; 11. Social tariffs; Part IV. Synthesis: 12. Synthesis of theory and practice; Appendix; Bibliography; Index; Selected list of RAND books. ...an excellent survey of the theoretical literature on optimal pricing of utilities (with their own applications to telecommunications) coupled with a very up to date and fascinating discussion of actual pricing policies by local exchange and interexchange carriers. It is an excellent addition to previous books on regulation, but is particulal%