nep-net 2007-07-27 papers

on Network Economics

Issue of 2007‒07‒27
two papers chosen by
Yi-Nung Yang
Chung Yuan Christian University

Network Effects in Risk Sharing and Credit Market Access: Evidence from Istanbul By Adaman, Fikret; Ardic, Oya Pinar; Tuzemen, Didem
Implications of Network Convergence on Local Access Regulation in the U.S. and the EU By Vanberg, Margit A.

Network Effects in Risk Sharing and Credit Market Access: Evidence from Istanbul

By:	Adaman, Fikret; Ardic, Oya Pinar; Tuzemen, Didem
Abstract:	It is a truism that households in developing countries that face idiosyncratic income/expenditure shocks may face difficulties in smoothing consumption through formal credit institutions, and hence rely, at least partially, on informal ties. While this issue has been explored extensively in the literature for rural areas, the picture reflecting the urban setting remains relatively uninvestigated. This paper aims to fill this gap by presenting an exclusively designed survey implemented in Istanbul. The results of a multi-stage logit estimation of the survey data indicate that monetary transfers from social networks and formal loans are complements, while general usage of network help implies an increased likelihood of asking for network help for easy and/or favorable access to credit. In addition, material security emerges as the key determinant of both eligibility for and use of a formal loan, and of having network help available in easing the loan approval process by banks.
Keywords:	Social networks; risk sharing; credit market access; Turkey; household survey.
JEL:	C35 O18 Z13 D12 C42
Date:	2006–12–01
URL:	http://d.repec.org/n?u=RePEc:pra:mprapa:4078&r=net

Implications of Network Convergence on Local Access Regulation in the U.S. and the EU

By:	Vanberg, Margit A.
Abstract:	This paper provides an overview of telecommunications regulation in the U.S. and in Europe. For each region the history of telecommunications regulations as well as the current regulatory regime is portrayed. The focus of this overview is on the question of how unbundling regulations in the local access market have evolved in parallel to the convergence of telecommunications with Internet and broadcasting services. The criteria used by the regulatory authorities to identify those network elements which incumbents are required to offer to competitors at regulated rates are compared to the criteria provided by the ÃÂÃÂ¢ÃÂÃÂÃÂÃÂessential facilities doctrineÃÂÃÂ¢ÃÂÃÂÃÂÃÂ, a concept used in antitrust law. The analysis concludes that U.S. deregulation has gone too far with respect to some broadband access markets while in Europe, a severe tendency to overregulation is observed.
Keywords:	network convergence, unbundling regulation
JEL:	L15 L43
Date:	2007
URL:	http://d.repec.org/n?u=RePEc:zbw:zewdip:5698&r=net

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