KURODA Toshifumi
   Department   Tokyo Keizai University  , Economics
   Position   Associate Professor
Language English
Publication Date 2009
Type paper(other)
Peer Review Peer reviewed
Title Discrete Choice Model Analysis of Demand for Mobile Telephone Service in Japan
Contribution Type Joint author
Journal Empirical Economics
Volume, Issue, Page 36(1),pp.65-80
Author and coauthor Takanori Ida
Details This paper analyzes the demand for mobile telephones including second generation (2G) and third generation (3G) by using a discrete choice model called a mixed logit model. First, we examine the substitution patterns of the demand for mobile telephones and show that demand substitutability among alternatives is stronger within the provider nest category than within the standard nest category in mobile telephone services. The closest substitute for NTT’s 3G service is NTT’s 2G service, rather than KDDI’s 3G service, for example. Second, we investigate the elasticities of demand for various functions including e-mail, Web browsing, and moving picture delivery. Consequently, we cannot observe marked differences between 2G and 3G services based on these calculated elasticities, indicating that it takes time for 3G subscribers to gain proficiency with such new services.
DOI 10.1007/s00181-008-0187-0
ISSN 1435-8921