Is improved broadband access a local Issue? At every level, access pricing is the real issue. Recently, Joshua Gans argued (based on the US model) that if Telstra shed its Foxtel and cable assets it should be allowed to invest in broadband without regulatory intervention. Now, he argues that the focus on national solutions to broadband is based on "demonstrably false" premises: "Broadband has more in common with garbage collection than defence". Instead of one magic bullet, he proposes that local solutions will provide many magic bullets to spur broadband investment. I think not.
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