caa a22 4500 378936271 CHVBK 20180305123641.0 cr unu---uuuuu 161128e20040423xx s 000 0 eng 10.2202/1538-0645.1210 doi (NATIONALLICENCE)gruyter-10.2202/1538-0645.1210 Why Do the Poor and the Less-Educated Pay More for Long-Distance Calls? [Elektronische Daten] [Jerry A. Hausman, J. Gregory Sidak] The benefits of competition among the long-distance interexchange carriers (IXCs) are not realized equally by all their customers. Despite the declines in rates under the discount plans, we document that basic message toll service (MTS) rates have been rising for several years. We show that poorer and less educated customers pay more than better educated and more affluent customers. We suspect that the reason for this correlation is that they are more apt to pay the MTS rates or other high rates, and we present some preliminary evidence that this tendency explains the correlation that we find. We also present evidence that the payment differences exist even after controlling for usage. These findings are significant because it seems likely to us that these two patterns (rising MTS rates and higher payments by the poor and the less educated) will each be ameliorated by the entry of the regional Bell operating companies (RBOCs) into long-distance markets—a state-by-state regulatory process that was nearly complete as of the beginning of 2004. ©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston telecommunications nationallicence Federal Communications Commission nationallicence price discrimination nationallicence entry regulation nationallicence long-distance service nationallicence Hausman Jerry A. MIT, jhausman@mit.edu aut Sidak J. Gregory American Enterprise Institute, jgsidak@aei.org aut Contributions in Economic Analysis & Policy De Gruyter 3/1(2004-04-23) 3:1 2004 3 bejeap https://doi.org/10.2202/1538-0645.1210 text/html Onlinezugriff via DOI 1 research article jats NATIONALLICENCE 856 40 https://doi.org/10.2202/1538-0645.1210 text/html Onlinezugriff via DOI NATIONALLICENCE 700 1- Hausman Jerry A. MIT, jhausman@mit.edu aut NATIONALLICENCE 700 1- Sidak J. Gregory American Enterprise Institute, jgsidak@aei.org aut NATIONALLICENCE 773 0- Contributions in Economic Analysis & Policy De Gruyter 3/1(2004-04-23) 3:1 2004 3 bejeap CC0 http://creativecommons.org/publicdomain/zero/1.0 nationallicence BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-gruyter