Trends in Economics and Finance

Use of Economic Modelling in Telecommunications (Volume II)

In the telecommunication industry, economic modelling techniques such as regression analysis, simulations and linear programming are powerful tools that can aid decision making for governments, regulatory authorities and telecommunication operators. Nevertheless, in many countries such techniques are often under-employed. The aim of this report is to describe the various economic modelling techniques and how they can be used to solve practical problems facing the elecommunication industry: for example how a proposed merger may affect competitive behaviour or how demand and profitability may be affected by a price change.