1、 The Evolution of Consumer Welfare in the Mobile Wireless Service Industry PAGE i Table of Contents I.Introduction.1 II.The Evolution of Quality and Price.2 A.Bureau of Labor Statistics,Wireless Telephone Prices.3 B.Average Revenue per Unit.4 III.Product Proliferation in the Mobile Wireless Service

2、Industry.5 A.Core Features(Calling,Texting,and Data).6 B.Video and Audio Streaming.7 C.De Novo Additional Features.9 IV.Pricing Options Proliferation in the Wireless Services Industry.10 A.Prepaid vs.Postpaid.10 B.Entry-Level vs.Mid-Level vs.Flagship Tiers.11 C.Discounts for Select Consumer Groups.1

3、6 D.Device Discounts and Offers.17 V.The Cumulative Effects:For Todays Consumers and Tomorrows.18 VI.Conclusion and Policy Assessment.22 The Evolution of Consumer Welfare in the Mobile Wireless Service Industry PAGE 1 I.Introduction Economic performance does not happen in a policy vacuum.Whether by

4、design or unintentional consequence,economic policies act to enhance or retard economic welfare in industries across the U.S.economy.The wireless telecommunications industry provides a prime example.From the outset of the mobile wireless industry in 1983,the Federal Communications Commission(FCC)has

5、 consistently embraced regulatory policies designed to encourage industry growth,innovation,and competition.In response to the FCCs so-called“light-touch regulation,”the industry has flourished,and the quality of millions of consumers personal and professional lives have been substantially enhanced.

6、This prima facie success story notwithstanding,the FCC is currently considering the imposition of a more stringent regulatory regime,under a banner of“net neutrality.”The merits of the proposed regulatory changes depend in considerable measure on the success or failure of the existing regulatory fra