An Empirical Study on Telecommunication Product Adoption in Latin America and the Caribbean

Abstract

This study discusses some empirical findings on telephone and cell phone adoptions in Latin American and Caribbean nations. Exhaustive fixed-effect pooled regressions are undertaken for this set of nations, using data from the World Bank for the period 1989–1999. The results show that telephone and cell phone adoption processes are different in nature. Moreover, diffusion is established to be a major factor in both telephone and cell phone adoptions in the region. Economic conditions as well as privatization also positively impact the adoptions.