Competition in network industries faces particular problems which
are analyzed from both a theoretical and policy perspective. Issues
of vertical integration, deregulation and privatization are
covered. While competition and privatization are rapidly unfolding
in telecommunications in Western and Eastern Europe, energy and
railway transportation represent sectors of more gradual
liberalization. The different market characteristics of
telecommunications, energy and transportation raise consistency
problems in the fields of deregulation, investment strategies and
internationalization. While transformation policies create
opportunities for liberalization in Eastern Europe and Russia the
latter shows critical problems in ending monopoly and state
ownership. Network industries could be subject to competition and
promise major investment opportunities plus consumer benefits.
General
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