Economies of scale and scope in Australian telecommunications

This paper employs a composite cost function to examine the cost structure of Australian telephoneservices. The composite cost model combines thelog-quadratic input price structure of the translogmodel with a quadratic structure for multiple outputs. Quadratic output structures permit the measuremen...

Full description

Bibliographic Details
Main Authors: Bloch, Harry, Madden, Gary, Savage, Scott
Format: Journal Article
Published: Springer Science + Business Media B.V., Formerly Kluwer Academic Publishers B.V. 2001
Online Access:http://hdl.handle.net/20.500.11937/28582
_version_ 1848752576004096000
author Bloch, Harry
Madden, Gary
Savage, Scott
author_facet Bloch, Harry
Madden, Gary
Savage, Scott
author_sort Bloch, Harry
building Curtin Institutional Repository
collection Online Access
description This paper employs a composite cost function to examine the cost structure of Australian telephoneservices. The composite cost model combines thelog-quadratic input price structure of the translogmodel with a quadratic structure for multiple outputs. Quadratic output structures permit the measurement of economies of scale, economies of scope, and subadditivity without prejudging their presence. Model estimates, on Telstra system data from 1926 to1991, show that the production of Australian telephoneservices exhibits economies of scope but no rayeconomies of scale.
first_indexed 2025-11-14T08:10:49Z
format Journal Article
id curtin-20.500.11937-28582
institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T08:10:49Z
publishDate 2001
publisher Springer Science + Business Media B.V., Formerly Kluwer Academic Publishers B.V.
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-285822017-09-13T15:56:36Z Economies of scale and scope in Australian telecommunications Bloch, Harry Madden, Gary Savage, Scott This paper employs a composite cost function to examine the cost structure of Australian telephoneservices. The composite cost model combines thelog-quadratic input price structure of the translogmodel with a quadratic structure for multiple outputs. Quadratic output structures permit the measurement of economies of scale, economies of scope, and subadditivity without prejudging their presence. Model estimates, on Telstra system data from 1926 to1991, show that the production of Australian telephoneservices exhibits economies of scope but no rayeconomies of scale. 2001 Journal Article http://hdl.handle.net/20.500.11937/28582 10.1023/A:1007839802268 Springer Science + Business Media B.V., Formerly Kluwer Academic Publishers B.V. restricted
spellingShingle Bloch, Harry
Madden, Gary
Savage, Scott
Economies of scale and scope in Australian telecommunications
title Economies of scale and scope in Australian telecommunications
title_full Economies of scale and scope in Australian telecommunications
title_fullStr Economies of scale and scope in Australian telecommunications
title_full_unstemmed Economies of scale and scope in Australian telecommunications
title_short Economies of scale and scope in Australian telecommunications
title_sort economies of scale and scope in australian telecommunications
url http://hdl.handle.net/20.500.11937/28582