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Paying by the second: a new trend in phone tariffs

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The aim of this Work Project is to analyze the impact on consumer choice and welfare of the new tariffs in the Portuguese Mobile Telephone market that charge by the second. These tariffs were introduced in light of legislation forbidding consumers from being charged for units that they do not consume. We consider the intervals at which consumers are charged, the minimum duration of calls and mandatory monthly charges. Using data on tariffs and call trends, this Work Project employs simulations to aid economic theory in exploring the above topics, concluding with a discussion of the aforementioned piece of legislation.

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A Work Project, presented as part of the requirements for the Award of a Masters Degree in Economics from the Faculdade de Economia da Universidade Nova de Lisboa
A Work Project, presented as part of the requirements for the Award of a Masters Degree in Economics from the Faculdade de Economia da Universidade Nova de Lisboa

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Mobile Telecommunications Nonlinear Tariffs

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Licença CC