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Articles 1 - 12 of 12

Full-Text Articles in Social and Behavioral Sciences

The Economic Benefits Of Mobile Broadband, James Prieger Oct 2012

The Economic Benefits Of Mobile Broadband, James Prieger

James E. Prieger

Mobile broadband is becoming increasingly important to national economies and the personal lives of users. However, broadband availability and adoption are not diffusing as quickly in rural areas or among certain minority groups. This article updates the rural and minority digital divide. Empirical estimations of mobile broadband provision and fixed broadband usage in the US show that rural areas have fewer providers and minorities have lower usage rates. The potential for mobile broadband to benefit rural areas through economic development and urban areas through enhancing the digital inclusion of minority communities is also examined.


Applications Barriers To Entry And Exclusive Vertical Contracts In Platform Markets, James Prieger, Wei-Min Hu Oct 2012

Applications Barriers To Entry And Exclusive Vertical Contracts In Platform Markets, James Prieger, Wei-Min Hu

James E. Prieger

Our study extends the empirical literature on whether vertical restraints are anticompetitive. We focus on exclusive contracting in platform markets, which feature indirect network effects and thus are susceptible to applications barriers to entry. Exclusive contracts in vertical relationships between the platform provider and software supplier can heighten entry barriers. We test these theories in the home video game market. We find that indirect network effects from software on hardware demand are present, and that exclusivity takes market share from rivals, but only when most games are non-exclusive. The marginal exclusive game contributes virtually nothing to console demand. Thus, allowing …


Verifiable And Non-Verifiable Anonymous Mechanisms For Regulating A Polluting Monopolist, James Prieger, Nicholas Sanders Oct 2012

Verifiable And Non-Verifiable Anonymous Mechanisms For Regulating A Polluting Monopolist, James Prieger, Nicholas Sanders

James E. Prieger

Optimal regulation of a polluting natural monopolist must correct for both external damages and market power to achieve a social optimum. Existing non-Bayesian regulatory methods require knowledge of the demand function, while Bayesian schemes require knowledge of the underlying cost distribution. We introduce mechanisms adapted to use less information. Our Price-based Subsidy (PS) mechanisms give the firm a transfer that matches or approximates the incremental surplus generated each period. The regulator need not observe the abatement activity or know the demand, cost, or damage functions of the firm. All of the mechanisms induce the firm to price at marginal social …


Are Drivers Who Use Cell Phones Inherently Less Safe?, James Prieger, Robert Hahn Oct 2012

Are Drivers Who Use Cell Phones Inherently Less Safe?, James Prieger, Robert Hahn

James E. Prieger

Mobile phone usage while driving is increasing throughout the world. In this paper, we use survey data from 7,268 U.S. drivers to estimate the relationship between mobile phone use while driving and accidents. We hypothesize that drivers who use mobile phones while driving may be more likely to get into accidents than drivers who do not, even when they are not using the phone. We find evidence for the endogeneity of mobile phone and hands-free device usage, and our analysis suggests that individuals who are more likely to use hands-free devices are more careful drivers even without them. Once we …


The Empirics Of The Digital Divide: Can Duration Analysis Help?, James Prieger, Wei-Min Hu Oct 2012

The Empirics Of The Digital Divide: Can Duration Analysis Help?, James Prieger, Wei-Min Hu

James E. Prieger

Accurate measurement of digital divides is important for policy purposes. Empirical studies on broadband subscription gaps have largely used cross-sectional data, which cannot speak to the timing of technological adoption. Yet, the dynamics of a digital divide are important and deserve study. With the goal of improving our understanding of appropriate techniques for analyzing digital divides, we review competing econometric methodology and propose the use of duration analysis. We compare the performance of alternative estimation methods using a large dataset on DSL subscription in the U.S., paying particular attention to whether women, blacks, and Hispanics catch up to others in …


The Rules Of The Road Or Roadblocks On The Information Highway? Regulation And Innovation In Telecommunications, James Prieger, Daniel Heil Oct 2012

The Rules Of The Road Or Roadblocks On The Information Highway? Regulation And Innovation In Telecommunications, James Prieger, Daniel Heil

James E. Prieger

Regulatory policy in telecommunications must balance short-term efficiency (low prices) against the firms’ incentives to innovate, which have longer reaching impacts on economic welfare. Historically, policy tended to sacrifice dynamic efficiency for the sake of competitive prices and static efficiency. In the last few decades, economists and other researchers have begun to document the large welfare costs of ignoring dynamic efficiency. We analyze the impact regulation has on innovation in a simple theoretical framework. We then turn to the empirical evidence that regulation dampens firms’ incentive to innovate in the telecommunications industry in general and the market for broadband Internet …


The Macroeconomic Impacts Of E-Business On The Economy, James Prieger, Daniel Heil Oct 2012

The Macroeconomic Impacts Of E-Business On The Economy, James Prieger, Daniel Heil

James E. Prieger

The growing use of information and communications technology (ICT) by business—e-business—profoundly affects the economy. This article covers some of the macroeconomic impacts of e-business. Evidence from empirical studies examining the impact that greater use of ICT by business has on productivity and national economic growth is presented, along with discussion of how e-business changes the volatility and complicates measurement of growth. E-business can bring down inflation, but also exacerbates some monetary and fiscal policy challenges, and raises new ones. While e-payments and e-money can complicate monetary policy and may alter its goals, little effect has been seen to date. Sales …


The Broadband Digital Divide And The Nexus Of Race, Competition, And Quality, James Prieger, Wei-Min Hu Oct 2012

The Broadband Digital Divide And The Nexus Of Race, Competition, And Quality, James Prieger, Wei-Min Hu

James E. Prieger

We examine the gap in broadband access to the Internet between minority groups and white households with geographically fine data on DSL subscription. In addition to income and demographics, we also examine quality of service and competition as components of the Digital Divide. The gaps in DSL demand for blacks and Hispanics do not disappear when income, education, and other demographic variables are accounted for. However, lack of competition is an important driver of the Digital Divide for blacks. Service quality is an important determinant of demand, and ignoring it masks the true size of the DSL gap for Hispanics.


Deployment Of Mobile Broadband Service In The United States, James Prieger, Thomas Church Oct 2012

Deployment Of Mobile Broadband Service In The United States, James Prieger, Thomas Church

James E. Prieger

Broadband deployment in the United States is expanding rapidly but unevenly. Using new FCC census data on wireline and wireless broadband providers, we study mobile broadband provision within the United States. Although rural areas lag non-rural areas in the availability of residential access to both mobile and fixed broadband, mobile broadband is at least partially filling in geographical gaps in fixed-line broadband coverage. Multiple regression results indicate that population density and growth, and the fraction of blacks, Hispanics, and youth in an area are positive predictors of the number of mobile broadband providers. The fraction of Native Americans, Asians, and …


Economics At The Fcc, 2008-2009: Broadband And Merger Review, James Prieger, Michelle Connolly Oct 2012

Economics At The Fcc, 2008-2009: Broadband And Merger Review, James Prieger, Michelle Connolly

James E. Prieger

Many issues have come before the Federal Communications Committee (FCC) in the last year. Some actions were taken (as with particular mergers), some actions were postponed (as with Universal Service Fund reform), and some issues are currently being tackled (the National Broadband Strategic Plan). In this paper, we focus on the topic of the National Broadband Plan, which the FCC is mandated to provide to Congress February 17, 2010, the FCC Merger Review process, and the determination of optimal penalties for violations of FCC rules or orders.


Civic Engagement In California: Why Do We Lag?, James Prieger, Kelly Faltis Oct 2012

Civic Engagement In California: Why Do We Lag?, James Prieger, Kelly Faltis

James E. Prieger

Civic engagement is vital for liberal democracy, the proper functioning of social, civic, and governmental institutions, and economic growth. This report examines citizen participation in political and social civic life in California. We begin by comparing the state to the nation at large, and find that California lags the nation in most forms of civic engagement. The data show that, on average, Whites were more engaged than Blacks, Hispanics, and Asians, and native citizens born in the US are more engaged than citizens born elsewhere and non-citizens. To analyze whether these factors determine why civic engagement differs in California, we …


Oust The Louse: Does Political Pressure Discipline Regulators?, James Prieger, Janice Hauge, Mark Jamison Oct 2012

Oust The Louse: Does Political Pressure Discipline Regulators?, James Prieger, Janice Hauge, Mark Jamison

James E. Prieger

We consider a possible determinant of regulatory decisions by public utility commissioners: the desire to remain in office. We examine regulatory exit, where a regulator leaves a commission during a term or is not re-appointed/re-elected. With data from US states, we empirically investigate several hypotheses motivated by a political agency model of regulatory decision-making. Our empirical results generally support the hypotheses, including that higher electricity prices lead to ousting, that ousting is less common where it is more costly for the principal to whom the regulator reports, and that ousting is more likely where regulators are more accountable or are …