Broadband expansion in brazil an empirical study - Andre Rossi Oliveira, Paulo Cesar Coutinho (2010)
by ACORN-REDECOM on Jul 21, 2011
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In this study we carry out empirical analyses to try and identify key drivers of broadband expansion. After a comparative ...
In this study we carry out empirical analyses to try and identify key drivers of broadband expansion. After a comparative
study of broadband markets in Brazil and other countries, we use OECD data to estimate the relationship between broadband
penetration and GDP per capita, urban population, ownership of personal computers and number of cable TV subscribers per
100 inhabitants. The last variable measures the impact of competition between DSL and cable networks on broadband
penetration, and its positive coefficient is evidence that facilities-based competition fosters broadband expansion. We run a
second batch of estimations to generate simulations of future broadband penetration rates and prices by geographic regions of
Brazil. Our main conclusions are the following: There is evidence that broadband markets in Brazil lack the necessary
network competition; public policies in Brazil should put a premium on curbing anti-competitive practices and fostering the
deployment of alternative (to DSL) broadband networks.
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