BROWSE
Detail
Conference Paper
Ill Effects of Broadband Internet under Flat Rate Pricing
Cited 0 time in 
Share 
Share
- Authors
- Jee Hyung Lee, Jeong Seok Park
- Issue Date
- 2003-06
- Citation
- International Conference Human Society@Internet (HSI) 2003 (LNCS 2713), v.2713, pp.158-167
- Publisher
- Springer
- Language
- English
- Type
- Conference Paper
- Abstract
- This paper examines the properties of two Internet pricing systems - a flat rate and a usage-based pricing system - in terms of the social welfare, by generalizing the theory advocated by the scholars. This study contributes not only to the systematic generalization of the theory but also to the examination of the waste of resource innate in the flat rate tariff. We found that the superiority between the two charging systems with regard to the waste of resource is not decided by the generic features of the charging systems themselves but by the scarcity of network resource. In other words, the flat rate pricing is better when there is no limit in the supportable volume of network source. Otherwise, the usage-based pricing system is better in the respect of reducing the unnecessary waste of network resource. © Springer-Verlag Berlin Heidelberg 2003.
- KSP Keywords
- Broadband Internet, Internet pricing, Network resources, Social welfare, Usage-based pricing, flat rate pricing