Wednesday, May 23, 2012

Usage-Based Pricing is Not "Anti-Consumer"

An analysis of consumer benefits or costs from usage-based telecom service pricing suggests that regulatory oversight may not  improve well-being even in the presence of clear anti-competitive conduct by broadband providers, the Phoenix Center for for Advanced Legal and Economic Public Policy
Studies argues.

Oversight is something regulators and politicians like to say they are conducting. But it won't help, in terms of  consumer benefits, the Phoenix Center analysis suggests.

In fact, such practices as charging over-the-top video service providers a fee to reach consumers, though considered an outrage by some policy advocates, actually helps end users.

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