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Outcomes and Alternatives for Universal Telecommunications Service: A Case Study of Texas Jerry Ellig   Joseph Rotondi Senior Research Fellow  Legal Fellow
Motivation for the Study ,[object Object],[object Object],[object Object],[object Object]
Questions Addressed ,[object Object],[object Object],[object Object]
Outcomes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Lifeline Prices Note: “Local Rate” is a subscriber-weighted statewide average, assuming each company’s average residential rate is the midpoint in its range of residential rates.
Lifeline Effect on Subscribership
Estimating High-Cost Outcomes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
High-Cost Effect on Subscribership (Spreadsheet inputs)
High-Cost Effect on Subscribership
Comments on Outcomes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Forgone Benefits ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Measuring Forgone Benefits ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
3 major USF contributors ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Forgone Benefits, Long-Distance
Forgone Benefits, Wireless
Total Forgone Benefits, Texas USF
Social Cost-Effectiveness (Change in subscribership divided by total social cost)
Reform Options Modeled ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Turn Back the Clock ,[object Object],[object Object],[object Object],[object Object]
Turn Back the Clock
Per Number Charge (excl. Lifeline)
Effect of Per Number Charge
Rate Equalization Scenarios ,[object Object],[object Object],[object Object]
Rate Equalization - Results
Increase Revenue Benchmark ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Effects of Increased Revenue Benchmark
Adjustments for Cost Reductions ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Hypothetical cost reduction scenarios (Per line subsidies are monthly, expenditures and savings are annual.)
Target Subsidies to Low-Income Subscribers ,[object Object],[object Object],[object Object],[object Object],[object Object]
Reform Options Not Modeled ,[object Object],[object Object],[object Object],[object Object],[object Object]
For more information … ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

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Ellig Rotondi U Service In Texas Jan 2007