Internet access and investment incentives for broadband service providers

Edmond Baranes and Jean-Christophe Poudou

Working Papers from LAMETA, Universtiy of Montpellier

Abstract: This paper studies a model of the Internet broadband market as a platform in order to show how di¤erent pricing schemes from the so-called "net neutrality " can increase economic e¢ ciency by allowing more investment of access providers and enhancing consumers surplus and social welfare. We show that departing from the "net neutrality", where at rates are used, introducing termination fees can increase incentives to invest for the ISP and enhance social surplus. Keywords : Network neutrality, Flat rates, Termination fees.

Pages: 26 pages
Date: 2011-04, Revised 2011-04
New Economics Papers: this item is included in nep-com and nep-net
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Citations: View citations in EconPapers (1)

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Working Paper: Internet access and investment incentives for broadband service providers (2011)
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Persistent link: https://EconPapers.repec.org/RePEc:lam:wpaper:11-09

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