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Fabritz, Nadine; Falck, Oliver (2013): Investment in Broadband Infrastructure Under Local Deregulation: Evidence from the U.K. Broadband Market. CESifo Working Paper, 4277
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This paper investigates telecommunication operator investment in broadband infrastructure after local deregulation of the wholesale broadband access market. Using a panel dataset covering all 5,598 exchange areas in the United Kingdom, we exploit regional differences in deregulation following a 2008 reform. Controlling for initial conditions, first-difference estimates show that local deregulation increases local investment in infrastructure by both the incumbent and competitors.