Regional Difference and Diffusion Mechanism of Chinese Mobile Telecommunications
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| Title | Regional Difference and Diffusion Mechanism of Chinese Mobile Telecommunications
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| Author | Luo Yuze Zhu shanli Chen Yuyu and Luo Laijun |
| Organization | 1. Institute of Policy and Economy Research of MIIT and Guanghua School of Management, Peking University; 2. Guanghua School of Management, Peking University; 3. Economics School, Renmin University of China |
| Email | luoyuze@gsm.pku.edu.cn,laijunluo@163.com |
| Key Words | Mobile Telecommunications; Diffusion Model; Effective Saturated Penetration; District Difference |
| Abstract | In the current process of China’s economic development, Mobile telecommunications should play more and more important role since it is both emerging and infrastructure industry. Because there is serious imbalances of economic developments in different regions, compared to its counterparts in developed countries and newly industrializes nations, how to develop China’s mobile telecommunications is a greater challenge. This paper improves Mansfield's model by introducing effective saturated penetration both to better satisfy the need of empirical estimation and to overcome the difficulty of estimating the terminal saturated rate before the end of diffusion by estimating the stage effective saturated rates, and achieves to describe as well as demonstrate the different development paths and related mechanisms of mobile telecommunications in China’s different districts. The study indicates that investment plays a vital role in the starting period, while income, price and citization level determine the final development level. In order to alleviate the Digital Gap, it is vital to increase the effective demand for mobile communications. |
| Serial Number | WP61 |
| Time | 2011-03-22 |
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