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Two perspectives on trading in radio spectrum usage rights: Coase and Commons compared

Published online by Cambridge University Press:  09 December 2014

WOLTER LEMSTRA ,
JOHN GROENEWEGEN ,
PIET DE VRIES  and
RAJEN AKALU
WOLTER LEMSTRA*
Affiliation:
Delft University of Technology, Delft, the Netherlands and Aalborg University, Copenhagen, Denmark
JOHN GROENEWEGEN*
Affiliation:
Delft University of Technology, Delft, the Netherlands
PIET DE VRIES*
Affiliation:
Twente University, Enschede, the Netherlands
RAJEN AKALU*
Affiliation:
University of Ontario, Oshawa, Ontario, Canada
*
*Email: [email protected]
**Email: [email protected]
***Email: [email protected]
****Email: [email protected]
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Abstract

In this contribution, we address the introduction of private property rights and market trades in the use of the radio frequency spectrum. We discuss the UK case being inspired by the ideas of Coase. We discuss how an appropriate design of property rights and a secondary market would look like and how the developments after the introduction of property rights could be interpreted. Subsequently we present the alternative perspective of Commons to illuminate the implications of a Coasean perspective. It is shown how Coase's focus is on efficiency, whereas in the world of Commons, the societal value is central. We discuss how the two perspectives can contribute to the understanding of the governance of the radio spectrum and conclude with policy recommendations.

Type
Research Article
Information
Journal of Institutional Economics , Volume 11 , Issue 2: Ronald H. Coase Memorial Issue , June 2015 , pp. 437 - 457
Copyright
Copyright © Millennium Economics Ltd 2014 

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