ITIF Paper: The Role of Competition in a National Broadband Policy

The Information Technology and Innovation Foundation has just released a great research paper titled The Role of Competition in a National Broadband Policy:

This paper argues that the consensus in favor of more broadband competition ignores the fact that because broadband displays natural monopoly or duopoly characteristics there are significant trade-offs between more competition and goals of efficiency, innovation, low prices, and higher speeds and broader deployment. As a result, it’s a mistake for policy makers to assume that if they simply “push the competition lever” all the problems with broadband policy will be solved. Some problems will recede, but others are likely to emerge. As a result, if policymakers seek to maximize not only societal welfare, but consumer welfare, they need to balance the push for more competition with the need to create an efficient industry structure.

Seems very insightful and reasonable guide.

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