Final Exam Questions

1. Discuss how two contemporary policy decisions, Computer Inquiry II and the Modified Final Judgment, had opposing effects on the companies of the Bell System.
2. Discuss the major social/political and technological trends that undermined the "natural monopoly" status of AT&T and led to the Divestiture.
3. What were the common concerns that were the basis for each of the Antitrust actions brought against AT&T by the Department of Justice? Explain why each was a concern, what remedies were proposed, and which remedies were finally implemented.
4. The FCC, the state PUCs, the NTIA, Congress, the US District Court of DC, and the US Court of Appeals each play a role in US telecommunications policy. Briefly describe the role (both historical and present) and authority of each of these governmental entities, and give an example in which each of these institutions was particularly influential from a policymaking perspective.
5. Discuss the three approaches to rate regulation used by the FCC since 1934.
6. What are the institutional constraints upon the decisionmaking authority of the FCC (outside of the Communications Act of 1934)?
7. Competition has been present at various points in the history of US telecommunications. Discuss the relevance of previous periods of competition to the push toward opening competition in the local exchange market.
8. What must the objectives of a regulator be, and why?
9. What is the relationship between a theory of regulation and the practical process of regulation?
10. Discuss the relationship between ONA and the Expanded Interconnect requirements. If you feel that no relationship exists, please justify that position as well.
11. This summer, the FCC decreased the common carrier line charge by approximately 5%. Please describe the response you would expect from each of the following groups:
    1. large national and multinational business users
    2. small (local) business users
    3. residential users
    4. local exchange carriers
    5. interexchange carriers
    6. state public utility commissioners
12. How is the current antitrust investigation against Microsoft (in regard to the Internet Explorer web browser) similar to the AT&T antitrust suit that resulted in the MFJ?
13. What special problems does the Internet pose to regulators?
14. What are the goals of the 14 point checklist in the Telecommunications Act of 1996? Make a case supporting whether you do (or do not) believe this checklist will aid in accomplishing the policy goals.
15. Describe at three models for entry into the local exchange market. To what extent do the Interconnection Requirements affect each of these models?