Economists at The Brattle Group released a report today in which they analyze the impact of different spectrum sharing schemes and propose implementing a spectrum based fee that would incentivize federal users to adjust their usage to more efficiently allocate this scarce resource and reduce costs.
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According to the report, federal users currently have little incentive to use spectrum efficiently, because they do not internalize the costs associated with their spectrum use. Imposing a spectrum based fee would incentivize federal users to use the spectrum more efficiently. The authors propose that the appropriate fee should be based on the commercial value of spectrum. By tying the fee to spectrum’s commercial value, federal users would be incurring the foregone economic value or opportunity cost of the spectrum in deploying these federal services.
Read the full press release here:
News - The Brattle Group
Read the full report at:
http://www.brattle.com/system/news/...ring_-_Taxonomy_and_Economics_Full_Report.pdf