We refute the OECD's conclusion that Mexico's telecommunications sector has experienced a lack of competition. The OECD's conclusion is based on its calculation that high pricing of Mexico's telecommunications services have caused consumers to lose 129.2 billion (USD) in consumer surplus. The OECD is incorrect. There has been no loss in consumer surplus. In fact, consumers in Mexico have obtainedbillions of dollars of benefits from lower prices and increased purchases of telecommunications services. The OECD's contrary conclusions were achieved because of mistakes, the incorrect use of facts and data and the application of incorrect economic analysis. Correct econometric analysis finds no evidence of market failure in Mexico. Mobile prices in Mexico are far below the average prices in other comparable countries (including nine OECD countries). The fixed-line sector performs better than a comparable sample of its peers. Mexican consumers are receiving billions of dollars of benefits from these lower prices.
CITATION STYLE
Hausman, J. A., & Ros, A. J. (2013). Corrección de la evaluaciónerrónea de la ocde acercade la competencia en el sectorde las telecomunicacionesen México. Trimestre Economico, 80(319), 489–539. https://doi.org/10.20430/ete.v80i319.155
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