In: Journal d’économie politique
Since the late eighties, telecommunication reforms took place both in developed and developing countries. Liberalization of the telecom sector contributes largely to the economic growth through the Information and Communication Technology (ICT) development and diffusion in the economy. Market openness in telecommunications services and the quality of regulatory regimes are main drivers of ICT sector development (OECD [2000b]). As in many other infrastructure industries, technological innovations, as well as institutional changes, have made possible the move away from a natural monopoly model to introduce competition where possible in the telecommunication sector through so-called regulatory reforms (Laffont and Tirole ; Noll ; Laffont ; Armstrong and Sappington ).