What is the magnitude of fixedmobile call substitution? Empirical evidence from 16 European countries
We model the demand for national fixed line call demand in 16 European countries from 2004 to mid-2010 on quarterly basis. We estimate (short- and long-run) own-price and cross-price-elasticities of mobile and fixed line prices. Our results indicate strong substitution effects from fixed to mobile services on the traffic level.
dynamic panel model fixedmobile substitution telecommunication markets