Universal service obligations in the postal sector: The relationship between quality and coverage

Calzada, Joan

doi:10.1016/j.infoecopol.2008.07.002

Cited by 14 publications

(12 citation statements)

References 21 publications

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“…However, they assume that the industry is monopolistic and that the price is fully controlled by the regulator, thus ignoring how strategic interactions of firms in a oligopolistic industry modify the impact of a USO. 6 This is in contrast to Chen and Schwarz [7] who treat the case of differential pricing in face of different marginal costs. In such a case, imposition of uniform pricing is source of allocation inefficiency, a case excluded in Poudou and…”

Section: Introductionmentioning

confidence: 95%

“…In their model, despite identical aggregate demands and marginal costs across different markets, differential pricing occurs because one firm operates in both monopolistic and duopolistic markets, thus facing demands with different elasticities as in the "classic" third-degree price-discrimination. 6 They show that, for given coverages, UP improves allocative efficiency by (i) equalizing marginal willingness to pay among the consumers and (ii)…”

Section: Introductionmentioning

confidence: 99%

“…See JorgePires [19]. 8 For example, see Anton et al [3], Bourguignon and Ferrando [5], Calzada [6], Choné et al [8], [9], Foros and…”

Section: Introductionmentioning

confidence: 99%

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Equity justifications for universal service obligations

Poudou

Roland

2017

International Journal of Industrial Organization

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Equity is often invoked as a possible justification for the imposition of universal service obligations (USOs). However, no previous analysis supports a formal link between equity and USO. In this paper, we describe the extent to which the imposition of USOs in oligopolistic network industries can meet the objectives of an inequality-averse regulator. We show that USOs can be used for equity purposes provided that the regulator is able to control the competitive structure of the industry. We also show that the uniform pricing constraint, which is an obligation to offer the same price conditions to all consumers, is welfare-enhancing but rather surprisingly, it does not necessarily improve equity.

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Section: Introductionmentioning

confidence: 95%

Section: Introductionmentioning

confidence: 99%

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Equity justifications for universal service obligations

Poudou

Roland

2017

International Journal of Industrial Organization

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“…In terms of postal sector, there is evident lack of papers, generally speaking. We find papers relating to universal postal service, some of them are: (Calzada, 2009;Mirabel et al, 2009;Cetiner et al, 2010) and one paper which treated question of employees' stress level, as well as quality improvement in Serbian Post (Dobrodolac et al, 2012). According to the authors knowledge there are no papers concerning the implementation of ABC and ABC/M within the postal sector.…”

Section: Literature Reviewmentioning

confidence: 99%

The Modified Activity-Based Costing Method in Universal Postal Service Area: Case Study of the Montenegro Post

Kujacic

Blagojevic

Šarac

et al. 2015

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The 3rd EC Postal Directive proposes a calculation approach to separately determine the net cost of universal service obligation. Also proposes presence of liability to compensate the universal service provider. In this paper, authors have presented the necessity of compliance with Postal Directives through application of the activity-based costing method for costs calculation related to the universal postal operator. The objective of this paper is to research the possibility of modification of the existing, traditional ABC method. Method will improve the quality of cost accounting of the universal postal operators. The aim is to present the implementation of the modified activity-based cost accounting method from the point of view of a universal postal service. Conceptual framework for the modified activity-based costing in the area of universal postal service has been developed and applied in the Montenegro Post. This modification of the traditional activity-based costing, called the modified activity-based costing, for solving specific accounting problems in a universal postal service area, is the main contribution of the paper. As long as the modified ABC method is not created and implemented, the Montenegro Post has been unable to adequately respond to the established legal requirements. The presented method can be a guide for other postal companies with matters concerning the calculation of costs and revenues.

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“…Examples include Crew and Kleindorfer (2006), Panzar (2001), DeDonder (2001), Dietl et al (2005), or Jaag (2007). Calzada (2008) shows that entrants can, by limiting their coverage to low cost areas, induce a higher incumbent price and thereby extract higher profits.…”

Section: Introductionmentioning

confidence: 99%