Network Production, Efficiency And Technological Options: Toward A New Dynamic Theory Of Telecommunications

Giovanni Marini and Andrea Pannone

Economics of Innovation and New Technology, 1998, vol. 7, issue 3, 177-201

Abstract: In this work we propose a new model for the analysis of telecommunications (Tlc) networks production. This represents an extension of the fund-flow model by Georgescou-Roegen originally applied to the manufacture and agriculture sectors. The adopted framework enables us to describe the functioning of a Tlc network - and the technique underlying the different types of Tlc traffic - by means of a system of multi-production where the production time profile has been clearly defined. One of the most innovative elements of our analysis is the ability to analytically represent the qualitative features of technological options. It also signals new productive options connected to new Tlc services and the introduction of new network facilities. In this way we hope to both further a theoretical understanding of the technological dynamics of the Tlc sector, and provide guidance as to the strategic choices of the economic actors involved.

Keywords: Network production; Fund-flow model; Technological options; Qualitative changes; Dynamic analysis JEL Classification: L96 (search for similar items in EconPapers)
Date: 1998
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Citations: View citations in EconPapers (2)

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DOI: 10.1080/10438599800000033

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