Entry into the telecommunication industry                  the utility of the already connected consumers whereas the utility of newly connected consumers _.

Related MCQs

• In order to ensure that foreclosures will not take place, regulators should allow all service providers to sell the entire variety of telecommunication, broadcasting, and Internet services.
• The firm with the higher market share under incompatibility earns _ under incompatibility whereas the firm with the smaller market share under incompatibility earns _ under compatibility.
•                             _ network effects arise when there are "at least two different customer groups that are interdependent, and the utility of at least one group grows as the other group(s) grow".
•                             _ occurs when a new technology replaces an old technology, but the old technology yields a higher utility (or profit) to both users than the new technology.
• When consumers are not identical, a market failure may occur when
• An increase in consumers’ preference for variety of software .
• Support-oriented consumers would prefer buying software over pirating software                                 .
• The at a price (connection fee) p0 is the minimal number of customers needed to ensure that at least this number of consumers will benefit from subscribing to the service at the fee p0.
• Under either vertical or horizontal information reproduction, total surplus enjoyed by the η consumers is                                         _.